ASHFORD HOSPITALITY TRUST ANNOUNCES FULL PAY OFF OF STRATEGIC FINANCING
Ashford Hospitality Trust (NYSE: AHT) has announced the complete payoff of its strategic financing, including the exit fee. The financing, which originated in early 2021, played a important role in the company's recovery from COVID-19 pandemic impacts.
The full repayment eliminates all corporate-level debt, strengthening the company's position alongside its recently announced 'GRO AHT' initiative. CEO Stephen Zsigray emphasized that this development will help maximize asset performance and increase shareholder value.
Ashford Hospitality Trust operates as a real estate investment trust (REIT) with a primary focus on investing in upper upscale, full-service hotels.
Ashford Hospitality Trust (NYSE: AHT) ha annunciato il completo rimborso del suo finanziamento strategico, inclusa la commissione di uscita. Il finanziamento, originato all'inizio del 2021, ha svolto un ruolo importante nella ripresa dell'azienda dagli impatti della pandemia di COVID-19.
Il rimborso totale elimina tutti i debiti a livello aziendale, rafforzando la posizione dell'azienda insieme alla sua recente iniziativa 'GRO AHT'. Il CEO Stephen Zsigray ha sottolineato che questo sviluppo aiuterà a massimizzare le performance degli asset e aumentare il valore per gli azionisti.
Ashford Hospitality Trust opera come un trust di investimento immobiliare (REIT) con un focus principale sugli investimenti in hotel di alta gamma e servizi completi.
Ashford Hospitality Trust (NYSE: AHT) ha anunciado el pago completo de su financiamiento estratégico, incluyendo la tarifa de salida. El financiamiento, que se originó a principios de 2021, desempeñó un papel importante en la recuperación de la empresa de los impactos de la pandemia de COVID-19.
El reembolso total elimina toda la deuda a nivel corporativo, fortaleciendo la posición de la empresa junto con su reciente iniciativa 'GRO AHT'. El CEO Stephen Zsigray enfatizó que este desarrollo ayudará a maximizar el rendimiento de los activos y aumentar el valor para los accionistas.
Ashford Hospitality Trust opera como un fideicomiso de inversión inmobiliaria (REIT) con un enfoque principal en invertir en hoteles de lujo y de servicio completo.
Ashford Hospitality Trust (NYSE: AHT)는 전략적 금융의 전액 상환을 발표했습니다. 여기에는 종료 수수료가 포함됩니다. 이 금융은 2021년 초에 시작되었으며 COVID-19 팬데믹의 영향으로부터 회사의 회복에 중요한 역할을 했습니다.
전액 상환은 모든 기업 수준의 부채를 없애고, 최근 발표된 'GRO AHT' 이니셔티브와 함께 회사의 입지를 강화합니다. CEO Stephen Zsigray는 이 발전이 자산 성과를 극대화하고 주주 가치를 증가시키는 데 도움이 될 것이라고 강조했습니다.
Ashford Hospitality Trust는 부동산 투자 신탁(REIT)으로 운영되며, 주로 고급 풀 서비스 호텔에 투자하는 데 중점을 두고 있습니다.
Ashford Hospitality Trust (NYSE: AHT) a annoncé le remboursement complet de son financement stratégique, y compris les frais de sortie. Ce financement, qui a débuté au début de 2021, a joué un rôle important dans la reprise de l'entreprise suite aux impacts de la pandémie de COVID-19.
Le remboursement total élimine toutes les dettes au niveau de l'entreprise, renforçant ainsi la position de l'entreprise avec son initiative récemment annoncée 'GRO AHT'. Le PDG Stephen Zsigray a souligné que ce développement aidera à maximiser la performance des actifs et à augmenter la valeur pour les actionnaires.
Ashford Hospitality Trust opère en tant que trust immobilier (REIT) avec un accent principal sur l'investissement dans des hôtels haut de gamme et de services complets.
Ashford Hospitality Trust (NYSE: AHT) hat die vollständige Rückzahlung seiner strategischen Finanzierung, einschließlich der Ausstiegsgebühr, bekannt gegeben. Die Finanzierung, die Anfang 2021 begann, spielte eine wichtige Rolle bei der Erholung des Unternehmens von den Auswirkungen der COVID-19-Pandemie.
Die vollständige Rückzahlung beseitigt alle Unternehmensschulden und stärkt die Position des Unternehmens im Rahmen der kürzlich angekündigten Initiative 'GRO AHT'. CEO Stephen Zsigray betonte, dass diese Entwicklung dazu beitragen wird, die Vermögensleistung zu maximieren und den Aktionärswert zu steigern.
Ashford Hospitality Trust agiert als Immobilien-Investment-Trust (REIT) mit einem Hauptaugenmerk auf Investitionen in gehobene, vollservicierte Hotels.
- Complete elimination of corporate-level debt
- Full payoff of strategic financing from 2021
- Strengthened financial position post-debt elimination
- None.
Insights
The complete payoff of Ashford Hospitality Trust's strategic financing marks a pivotal transformation in the company's capital structure and financial health. This debt elimination significantly enhances the REIT's financial flexibility and strengthens its position in the competitive upper upscale hospitality sector.
The timing of this debt retirement is particularly strategic, considering the current high-interest rate environment. By eliminating corporate-level debt, AHT has effectively reduced its interest expense burden and improved its ability to generate free cash flow. This positions the company to potentially:
- Pursue strategic acquisitions at more attractive valuations
- Invest in property improvements to drive RevPAR growth
- Consider implementing a more competitive dividend policy
- Maintain greater flexibility in responding to market opportunities
The concurrent announcement of the "GRO AHT" initiative, coupled with this debt elimination, suggests a comprehensive strategy focused on operational excellence and value creation. For a REIT operating in the capital-intensive upper upscale hotel segment, this improved financial position could translate into enhanced competitive advantages and better ability to weather future market cycles.
However, it's important to monitor how management deploys its improved financial flexibility. The success of this strategic move will ultimately depend on the execution of growth initiatives and the company's ability to generate superior returns on its unlevered hotel portfolio in a highly competitive market environment.
"We are extremely pleased to announce the full pay off of our strategic financing," commented Stephen Zsigray, Ashford Trust's President and Chief Executive Officer. "Completely eliminating our corporate-level debt fortifies the Company and, along with our recently announced "GRO AHT" initiative, positions Ashford Trust well going forward. We will continue to focus on maximizing the performance and value of our assets and increasing shareholder value."
Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing predominantly in upper upscale, full-service hotels.
Forward-Looking Statements
Certain statements and assumptions in this press release contain or are based upon "forward-looking" information and are being made pursuant to the safe harbor provisions of the federal securities regulations. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "may," "will," "should," "potential," "intend," "expect," "anticipate," "estimate," "approximately," "believe," "could," "project," "predict," or other similar words or expressions. Additionally, statements regarding the following subjects are forward-looking by their nature: Our business and investment strategy; anticipated or expected purchases, sales or dispositions of assets; our projected operating results; completion of any pending transactions; our ability to restructure existing property-level indebtedness; our ability to secure additional financing to enable us to operate our business; our understanding of our competition; projected capital expenditures; and the impact of technology on our operations and business.. Such forward-looking statements are based on our beliefs, assumptions, and expectations of our future performance taking into account all information currently known to us. These beliefs, assumptions, and expectations can change as a result of many potential events or factors, not all of which are known to us. If a change occurs, our business, financial condition, liquidity, results of operations, plans, and other objectives may vary materially from those expressed in our forward-looking statements. You should carefully consider this risk when you make an investment decision concerning our securities. These and other risk factors are more fully discussed in the Company's filings with the SEC.
The forward-looking statements included in this press release are only made as of the date of this press release. Investors should not place undue reliance on these forward-looking statements. We will not publicly update or revise any forward-looking statements, whether as a result of new information, future events or circumstances, changes in expectations or otherwise except to the extent required by law.
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SOURCE Ashford Hospitality Trust, Inc.
FAQ
What is the significance of AHT paying off its strategic financing?
When did AHT originally secure the strategic financing that was just paid off?
How does the strategic financing payoff align with AHT's current initiatives?
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