Japan's Kintetsu to sell eight hotels to Blackstone

The ticker and trading information for Blackstone Group is displayed at the post where it is traded on the floor of the New York Stock Exchange (NYSE) April 4, 2016. REUTERS/Brendan McDermid

TOKYO (Reuters) -Japan’s Kintetsu Group Holdings will sell eight hotels to private equity firm Blackstone Group for an undisclosed amount, the railway operator said on Thursday.

Blackstone is part of a wave of foreign investors making deals in Japan, where shareholders are increasingly challenging company managers in a shakeup of the traditional corporate order.

In a filing, Kintetsu said it would continue to operate the hotels, which have a book value of 42 billion yen ($385 million). The deal was worth 60 billion yen, the Nikkei business daily said.

The deal was spurred by cost cutting during the COVID-19 pandemic, Kintetsu added, with Blackstone selected for its global real estate investing experience.

($1=108.9400 yen)

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