Hyatt Hotels has announced its intent to acquire the brands and the majority of affiliates of Standard International, the parent company of The Standard and Bunkhouse Hotels brands.

This strategic move is set to bolster Hyatt's leadership in the lifestyle hotel sector, a space where the company has seen significant growth.

The acquisition is subject to customary closing conditions and is expected to close later this year.

Following the transaction, Hyatt will create a new lifestyle group that will be led by Standard International executive chairman Amar Lalvani.

To be headquartered in New York City, the new lifestyle group aims to capitalise on Hyatt's operational and loyalty infrastructure.

The group will include Standard International's team alongside Hyatt colleagues. 

The acquisition will add 21 open hotels with approximately 2,000 rooms to Hyatt's asset-light portfolio, including notable properties such as The Standard, London The Standard, Bangkok Mahanakhon and The Standard, High Line in New York City.

Hyatt president and CEO Mark Hoplamazian said: “The team behind Standard International has created a unique and award-winning portfolio of brands and properties that turn the status quo on its head and have attracted a loyal following among the most discerning lifestyle guests for the past 25 years.

“These properties truly drive the zeitgeist, creating destinations unto themselves with celebrated and talked-about programming and events such as the Met Gala after-party. We are thrilled to welcome Standard International’s properties and team to the Hyatt family with the newly created lifestyle group and draw on their brilliance, creativity, culture and innovation.”

The transaction will also bring new brands to Hyatt's portfolio such as Peri Hotels, The StandardX, and The Manner.

Hyatt will also assume more than 30 projects are in the pipeline, including properties that are expected to open within the next year.

Upon closing, Hyatt will pay a base purchase price of $150m, with up to an additional $185m over time as more properties are added.  

This acquisition marks a successful investment for Sansiri, which will retain ownership of several properties managed or franchised under the acquired brands. 

Recently, Hyatt Hotels finalised the sale of Hyatt Regency Orlando and an adjacent 45-acre land parcel in Florida, US, for $1.07bn.