China-based insurance company Anbang Insurance Group has
agreed to acquire Strategic Hotels & Resorts for $6.5 billion, according to
a person familiar with the process.
Strategic owns 16 U.S. hotels, with all but one competing
in the luxury sector. Its properties include Fairmont hotels in Chicago and
Scottsdale, Ariz.; five Four Seasons hotels; two Ritz-Carlton hotels; and the
Montage Laguna Beach in Southern California.
Anbang is making a big push in the U.S. hotels sector.
The company is leading a group that has bid $12.8 billion for Starwood Hotels
& Resorts. Marriott already has an agreement to
acquire Starwood for $12.2 billion.
Last February, Anbang acquired the Waldorf Astoria New
York from Hilton Worldwide for $1.95 billion and said it would invest in a major
renovation.
The sale of Strategic Hotels would give Blackstone a $500
million profit after just a few months of ownership. Blackstone acquired
Strategic in December for $6 billion, taking the company private in the
process.