LaSalle Hotel Properties has opted for Pebblebrook Hotel Trust’s bid over a competing offer by The Blackstone Group.
Pebblebrook will acquire all of LaSalle’s outstanding common shares for $5.2 billion.
Blackstone’s $4.8 billion bid had previously been accepted by LaSalle but Blackstone had declined to continue a bidding war with Pebblebrook.
"We are very pleased to have reached an agreement to bring Pebblebrook and LaSalle together in a strategic combination that represents a terrific value-maximizing opportunity for both LaSalle and Pebblebrook shareholders," says Jon Bortz, CEO of Pebblebrook.
"We look forward to moving swiftly to complete this transaction and to welcoming LaSalle employees to our team."
Pebblebrook takes over LaSalle Properties’ 41 hotels which boosts its portfolio to 66 hotels and resorts.
They include independent and branded upscale hotels in New York, San Francisco, Boston, Los Angeles, Atlanta, San Diego, Philadelphia, Seattle, Miami and Washington, D.C.
Pebblebrook says it plans to sell three of the LaSalle hotels once the merger is completed.
