ASHFORD INC. (NYSE:AHT) Files An 8-K Regulation FD Disclosure
ITEM 7.01 REGULATION FD DISCLOSURE
announced that it has acquired a controlling interest in a
privately held company that conducts the business of Pure Rooms
(Pure Rooms) for approximately $97,000 in cash consideration
(excluding transaction costs). Pure Rooms utilizes
state-of-the-art purification technology to create
allergy-friendly guestrooms. Pure Rooms currently has contracts
in place with approximately 160 hotels (approximately 2,400
rooms) throughout the United States. Pure Rooms hypo-allergenic
rooms are designed to provide a better nights sleep for all
guests, especially allergy sufferers.
surfaces, including the air, and removes up to 99% of pollutants.
Hotel rooms participating in this program typically achieve
between a $20 and $30 premium per night. Based on historical
performance, Ashfords asset managed hotels that have been
included in the Pure Rooms program have experienced an internal
rate of return of between 50% and 70% on the Pure Rooms
investment.
Rooms, Ashford owns $300,000, or 50%, of the Series B-2 Preferred
Equity of Pure Rooms. The total capitalization of Pure Rooms also
includes approximately $475,000 of bank debt and $200,000 of
Series B-1 Preferred Equity which will be senior to Ashfords
investment. A copy of this press release is attached hereto as
Exhibit 99.1.
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99.1
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Press release of the Company, dated April 13, 2017.
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About ASHFORD INC. (NYSE:AHT)
Ashford Hospitality Trust, Inc. is an externally-advised real estate investment trust (REIT). The Company is focused on investing in the hospitality industry with a focus on full-service upscale and upper-upscale hotels in the United States. The Company owns its lodging investments and conducts its business through Ashford Hospitality Limited Partnership (Ashford Trust OP), its operating partnership. As of December 31, 2016, the Company owned interests in 123 consolidated hotel properties, including 121 (two that are held for sale) directly owned and two owned through a majority-owned investment in a consolidated entity, which represent 26,013 total rooms; 86 hotel condominium units at WorldQuest Resort in Orlando, Florida; a 96.6% ownership in Ashford Quantitative Alternatives (U.S.), LP (the AQUA U.S. Fund); a 29.7% ownership in Ashford Inc., and a 13.3% ownership in OpenKey. ASHFORD INC. (NYSE:AHT) Recent Trading Information
ASHFORD INC. (NYSE:AHT) closed its last trading session up +0.07 at 6.40 with 871,622 shares trading hands.
