M&A Deal Summary

Marriott Acquires Protea Hospitality Holdings

On January 22, 2014, Marriott acquired leisure company Protea Hospitality Holdings from Aka Capital and Actis Capital for 186M USD

Acquisition Highlights
  • This is Marriott’s 1st transaction in the Leisure sector.
  • This is Marriott’s 3rd largest (disclosed) transaction.
  • This is Marriott’s 1st transaction in South Africa.

M&A Deal Summary

Date 2014-01-22
Target Protea Hospitality Holdings
Sector Leisure
Buyer(s) Marriott
Sellers(s) Aka Capital
Actis Capital
Deal Type Add-on Acquisition
Deal Value 186M USD

Target

Protea Hospitality Holdings

Western Cape, South Africa
website
Protea Hotels is a hotel group in Africa with an extensive footprint; more than 116 hotels throughout South Africa and six other African countries, including Zambia, Nigeria, Namibia, Malawi, Uganda and Tanzania. The company was founded in 1984 and has grown its portfolio and brands since. The group comprises of two brands, namely the mid-up market Protea Hotels (including the lifestyle brand Protea Hotel Fire & Ice!) brand and the superior deluxe African Pride Hotels, Lodges and Country Houses brand.

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Buyer(S) 1

Buyer

Marriott

Bethesda, Maryland, United States

website


Category Company
Founded 1927
Sector Leisure
Employees377,000
Revenue 20.8B USD (2022)
DESCRIPTION
Entrance to Marriott's corporate headquarters in Bethesda, Maryland.
Entrance to Marriott's corporate headquarters in Bethesda, Maryland.

Marriott is a worldwide operator, franchisor, and licensor of hotels and timeshare properties under numerous brand names at different price and service points. Marriott also operates, markets, and develops residential properties and provide services to home/condominium owner associations. Marriott was formed in 1927 and is based in Bethesda, Maryland.


DEAL STATS #
Overall 1 of 3
Sector (Leisure) 1 of 3
Type (Add-on Acquisition) 1 of 3
Country (South Africa) 1 of 1
Year (2014) 1 of 1
Size (of disclosed) 3 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-06-28 Marriott Vacations Worldwide

Orlando, Florida, United States

Marriott Vacations Worldwide is a pure-play vacation ownership company. In late 2011, Marriott Vacations Worldwide was established as an independent, public company focusing primarily on vacation ownership experiences. Marriott Vacations Worldwide was founded in 1984 and is based in Orlando, Florida.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-03-21 Starwood Hotels & Resorts Worldwide

Stamford, Connecticut, United States

Starwood Hotels & Resorts Worldwide, Inc. is a hotel and leisure company with more than 1,270 properties in some 100 countries and over 180,000 employees at its owned and managed properties. Starwood is a fully integrated owner, operator and franchisor of hotels, resorts and residences under the renowned brands: St. Regis, The Luxury Collection, W, Design Hotels, Westin®, Le Méridien, Sheraton, Four Points by Sheraton, Aloft, Element, and the recently introduced Tribute Portfolio™. Starwood was formed in 1969 and is based in Stamford, Connecticut.

Buy $13.6B

Seller(S) 2

SELLER

Aka Capital

Bryanston, South Africa

Investor

website


Category Private Equity Firm
Founded 2001
Size Small
Type Sector Agnostic
DESCRIPTION

Aka Capital is a South African private equity firm that seeks to acquire companies and take an active role in building portfolio company value. Aka Capital was formed in 2001 and is based in Bryanston, South Africa.


DEAL STATS #
Overall 2 of 3
Sector (Leisure) 1 of 1
Type (Add-on Acquisition) 2 of 2
Country (South Africa) 2 of 3
Year (2014) 1 of 1
Size (of disclosed) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2012-02-13 Savcio Holdings

Bedfordview, South Africa

SAVCIO is the largest privately-owned provider of maintenance and repair services for rotating electrical equipment and transformers in Africa.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-09-06 Ceramic Industries

Vereeniging, South Africa

Ceramic Industries and its subsidiaries are principally engaged in the manufacture of ceramic sanitaryware and floor and wall tiles. The group is the largest manufacturer of ceramic tiles in South Africa as well as a major manufacturer of sanitaryware in both the wholesale and retail areas. The group has factories in South Africa and one tile factory in Australia.

Sell -
SELLER

Actis Capital

London, United Kingdom

Investor Investor Investor Investor Investor

website


Category Private Equity Firm
Founded 2004
PE ASSETS 24.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Actis Capital is a private equity firm focused on investments in emerging markets. Actis segments its investment activity into three areas. These include private equity, energy, and real estate. Actis' private equity team looks for buyout and growth capital opportunities requiring at least $50 million in financing. Depending on the situation, Actis will consider both controlling and minority investment situations. Sectors of interest include financial services, consumer and retail, business services, and industrial. Actis' energy group seeks to invest in in a variety of energy and utility projects. Actis' real estate team invests equity capital in office, residential, industrial, hotel and retail projects. Actis Capital was established in 2004 and is based in London.


DEAL STATS #
Overall 43 of 81
Sector (Leisure) 1 of 1
Type (Add-on Acquisition) 20 of 41
Country (South Africa) 5 of 11
Year (2014) 2 of 9
Size (of disclosed) 11 of 18
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2014-01-10 EIC Education

Hong Kong, China

EIC Education is a provider of overseas education counselling services to students in China by number of contracts signed in 2014, with a national market share of 13%. The Company is also a major integrated overseas education advisory services provider in China, offering market leading complementary test preparation services as part of the wide range of integrated and complementary overseas education advisory services to students. EIC Education is based in Hong Kong, China.

Sell $200M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2014-02-03 AutoXpress

Nairobi, Kenya

AutoXpress is a distributor and retailer of quality tyre, battery and suspension products from Pirelli, Dunlop, Marshal, BKT, KYB and Energizer that consumers trust to keep their cars on the road. AutoXpress was founded in 1958 and is based in Nairobi, Kenya.

Buy -