Motel 168 was acquired by Home Inn.

20 1 1 On May 27th, 2008, Home Inn Group announced in Shanghai that it had formally signed an agreement to acquire all the shares of Motel 168 International Holding Company (hereinafter referred to as "Motel 168").

The acquisition is expected to be completed before the end of this year.

According to the purchase agreement, the total purchase price is USD 470 million, of which USD 305 million is paid in cash, and the rest is issued and paid at the completion of the transaction with USD 20 185 and * * * 8150,000 common shares of Home Inn (each ADS share of Home Inn is equal to 2 common shares).

Home Inn Group said that it plans to raise the cash needed for this transaction through its own funds and one or more loan channels. Home Inn has won the credit limit of US$ 300 million from Credit Suisse and Bank of JPMorgan Chase.

At present, this transaction has been approved by Home Inns, Motel 168 board of directors and Motel 168 shareholders. The completion date of the transaction will be determined according to the specific transaction conditions and the approval of the relevant authorities in China, and it is expected to be completed before the end of 20 1 1. Home Inn hired Credit Suisse and JPMorgan Chase as its financial advisors, Shengxin American Law Firm, Fangda Law Firm and Pudong Law Firm as its legal advisors, and PricewaterhouseCoopers as its accounting transaction advisor to complete this transaction.

Home Inn will become the largest hotel group in China.

As of the first quarter of 20 1 1, Home Inns has 848 hotels with 9732 1 rooms, ranking first among the economy hotel chains in China. Home Inn Group owns two brands, Home Inn and Easy, covering 150 cities.

Motel 168 is a well-known brand in China economy hotel market, ranking fifth in the industry. As of May 26th this year, there are 144 direct stores and 137 franchise stores in 8 1 cities with ***45669 rooms. Motel owns three brands, Motel 168, Motel 268 and YotelQQ, most of which belong to Motel 168, and are well-known among business and leisure guests, especially in Shanghai and the eastern coastal areas. Motel's revenue from 20 10 is $262 million.

The 848 hotels opened by Home Inns are mainly distributed in first-and second-tier cities in China, mainly in the north of Huaihe River, and Motel 168 hotels are mainly distributed in Shanghai and first-and second-tier cities in East China. Home Inn said that the income of Motel 168 will further optimize the regional distribution pattern of Home Inn Group, which is conducive to a balanced distribution.

After the acquisition, the number of hotels owned by Home Inns Group will exceed 1 120, covering about 170 cities. Home Inn Group will become the largest hotel group in China in terms of number of hotel rooms, number of hotels and geographical scope.

According to the strategic plan of Home Inn Group, after the acquisition, Home Inn Group will own three brands: Home Inn, He Yi Hotel and Motel 168. After combing and integrating the hotels owned by Motel 168, Home Inns will continue to expand the scale of Motel 168. In the future, Home Inns will make three arrows in unison and strive to build the largest comprehensive hotel chain group in the world.