Angelo Gordon and Westmont Hospitality Group Acquire Room Mate

The Room Mate Brand Will Come Out of Insolvency and Continue Operating Normally as it Charts New Path to Profitability and Growth

Transaction Ensures Room Mate Employees and Management are Maintained, and Assumes Company’s Commitments with Lessors, Suppliers, and Clients

MADRID--()--Angelo Gordon, a $50 billion alternative investment firm focused on credit and real estate investing, and Westmont Hospitality Group ("Westmont"), a strategic investment partner and operator, today announced that they have acquired Room Mate, S.A. (“Room Mate” or the “Company”), following the completion of the Company’s financial restructuring.

Angelo Gordon and Westmont initially invested in Room Mate in April 2022 to support the business and provide it with additional working capital. In order to fully restructure its debt, on June 24, 2022, Room Mate filed for insolvency with Commercial Court No. 14 of Madrid, which today approved the sale of the productive unit to Angelo Gordon in partnership with Westmont.

As a part of the transaction, Angelo Gordon and Westmont have agreed to maintain Room Mate’s current workforce of over 400 employees and assume nearly €40 million in commitments with lessors, suppliers, and clients.

Jacopo Burgio, Director, Europe Real Estate at Angelo Gordon, stated, “We are pleased to complete this complex transaction, which we believe is reflective of Angelo Gordon’s expertise and ability to execute on challenging yet compelling investment opportunities. Room Mate is a leading hotel brand with a loyal customer base and fantastic team, and we look forward to working closely with Company management and Westmont to capitalize on the significant opportunity for growth and expansion.”

Westmont Hospitality Group added, “We are excited to partner with Angelo Gordon to help Room Mate maximise its full potential. The Company has a great product and provides guests with a highly differentiated hotel experience. We believe that it is poised for success as the tourism sector continues to recover throughout Europe and beyond.”

Clifford Chance served as legal advisor to Angelo Gordon and Westmont on the transaction.

About Angelo, Gordon & Co., L.P.
Angelo, Gordon & Co., L.P. (“Angelo Gordon”) is a privately held alternative investment firm founded in November 1988. The firm currently manages approximately $50 billion with a primary focus on credit and real estate strategies. Angelo Gordon has over 600 employees, including more than 200 investment professionals, and is headquartered in New York, with associated offices in the U.S., Europe, and Asia. For more information, visit www.angelogordon.com.

About Westmont Hospitality Group
Founded in 1975, Westmont has grown to be one of the largest privately-held hospitality organisations in the world. Since its inception it has operated and held ownership interests in more than 1,000 hotels globally and has a current portfolio of over 500 hotels across North America, Europe, Africa, and Asia. It has alliances with some of the world’s largest hotel brands including Hilton, Marriott, IHG, Hyatt, Fairmont, Four Seasons, LHW, and Choice Hotels. Its portfolio is diversified across 2 to 5-star properties, limited-service to full-service, large conference, aparthotels, boutique hotels, and high-end luxury hotels. For more information, visit www.whg.com.

Contacts

Media
For Angelo Gordon:
Stephanie Barry/Kaitlin Bilby
Media@angelogordon.com

Contacts

Media
For Angelo Gordon:
Stephanie Barry/Kaitlin Bilby
Media@angelogordon.com