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Remington, Ashford acquire Chesapeake Hospitality for $15.8M

April 18, 2022

Ashford announced that independent hotel management company Remington Hotels, a wholly owned portfolio company of the alternative asset management firm, has acquired privately held third-party hotel management company Chesapeake Hospitality.

Ashford is acquiring Chesapeake for an initial consideration of $15.75 million, payable with $6.3 million in cash and $9.45 million of a new Series CHP Convertible Preferred Unit, which will pay a 7.28 percent annual dividend and have a $117.50 conversion price per share. Chesapeake will also have the ability to earn up to $10.25 million of additional consideration based on its base management fee contribution for the trailing 12-month periods ending March 2024 and March 2025 for a total potential consideration of $26 million.

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