CitizenM is a leading hotel operator under the citizenM brand and a fully integrated global hotel real estate developer, currently operating and developing hotels in more than 20 cities in North America, Europe, and Asia. De Brauw has acted as counsel to citizenM Holding B.V., in collaboration with Kirkland & Ellis LLP, for the sale of the citizenM brand and related IP assets to Marriott Worldwide Corporation through an asset purchase agreement.

citizenM sold the citizenM brand and related IP assets for USD 355 million, with potential additional earn-out payments up to USD 110 million that are based on the future growth of the brand over a multi-year timeframe. As a result of this transaction, the citizenM brand will become part of Marriott's select-service brand portfolio. Marriott has a proven track record of growing acquired brands significantly by leveraging their global development ecosystem, the benefits of their industry-leading affiliation cost structure, and the power of their award-winning Marriott Bonvoy loyalty platform.

The transaction will enable citizenM to implement a strategy that is more focused on the development and exploitation of hotels and hotel real estate. citizenM will continue to own their real estate and operate all their hotels. Following closing of the transaction, the citizenM portfolio will become part of Marriott’s system and citizenM will franchise the citizenM brand from Marriott under new long-term franchise agreements with Marriott. Moreover, citizenM will continue the development of additional innovative hotels. With the strength of Marriott’s development engine, citizenM looks forward to the prospect of many additional citizenM properties in new destinations around the world.

Closing of the transaction is subject to regulatory and other transaction conditions and is anticipated to occur in 2025.

The De Brauw team consists of: Henk van Ravenhorst, Gaby Smeenk, Alexandra Tan, Rik van Haeringen, Lennart Vos, Geert Lokhorst, Arne Grimme, Annelieke Anbeek, Sena Uralcin, Hortensia de la Pena, Max van Vianen, Eva Smit, Souhail Lahlimi, Mirjam Kerkhof and Anne Marie Verschuur.