Seibu Prince Hotels Expands Global Footprint with Acquisition of Ace Group International

In a strategic move to broaden its global presence, Seibu Prince Hotels Worldwide (SPW) has announced its acquisition of Ace Group International (AGI), the parent company of Ace Hotel and its in-house creative agency, Atelier Ace. This significant deal, completed through SPW's newly formed U.S. subsidiary, Ace Hotels Worldwide Inc., embodies a key component of the company's long-term growth strategy.

Yoshiki Kaneda, President and CEO of SPW, emphasized the critical nature of this acquisition in the context of the company's ambition to establish itself as a truly global hotel entity with roots in Japan. He stated, "Today marks an important milestone in SPW's journey to become a truly global hotel group with Japanese roots. Ace Hotel brings a distinctive cultural spirit that perfectly complements our portfolio. By uniting Ace's pioneering approach with SPW's heritage of omotenashi, the Japanese art of genuine hospitality, we are creating a hospitality group that is authentic and globally trusted."

This integration allows Ace Hotel to operate independently under SPW's framework while maintaining its unique branding and creative direction. This will ensure that Ace’s well-known approach to hospitality, which has been cherished since its inception in Seattle in 1999, remains intact.

Brad Wilson, Chairman of Ace Hotel, reflected on this partnership by stating, "We're honored to join Seibu Prince Hotels Worldwide. Over the past decade, we've grown the Ace brand globally while staying true to our founding principles, transforming historic buildings, contributing to neighborhood revitalization, and creating spaces that honor culture and community. Seibu Prince shares these values." This collaboration not only augments Ace’s brand but also empowers it with SPW's extensive infrastructure and operational expertise, promising accelerated growth and a stronger market presence.

SPW's portfolio already spans across various locations, with hotels ranging from luxury urban establishments to ryokans, ski resorts, and golf retreats. The addition of the Ace brand, with its eight properties including notable locations like Ace Hotel New York and Ace Hotel Kyoto, reinforces the company's geographical diversity and market appeal. Moreover, ongoing development projects like Ace Hotel Fukuoka, set to open in 2027, indicate ambitious plans for expansion in North America, Asia, and Europe.

The synergies between SPW and Ace are pronounced; SPW offers a scale and infrastructure that Ace can capitalize on, while Ace has a solid reputation in experiential hospitality and deep local engagement in North America and Europe. Chris Penn, CEO of Ace Hotel, highlighted that their partnership with SPW sets the stage for faster expansion and long-term value, ensuring Ace retains its cultural engagement and creative ethos.

The agreement marks a significant aspect of SPW's long-term strategy, aiming to reach a total of 250 hotels worldwide by fiscal year 2035. SPW's current portfolio includes 86 hotels, alongside 31 golf courses and 10 ski resorts. The acquisition of Ace introduces a lifestyle brand into SPW's offerings, positioning it to better engage with the growing market for lifestyle hospitality, which has become a major factor in customer attraction and retention.

Furthermore, the deal is set to enhance Ace's accessibility to SPW's loyalty program, Seibu Prince Global Rewards, thus broadening Ace's appeal to a larger international audience. As both companies prepare for this new chapter, it is clear that the combination of Seibu Prince's operational strength and Ace's distinctive brand will forge an innovative path in the hospitality industry.

In conclusion, as SPW and Ace Hotel collaborate, they are poised to reshape the hospitality landscape with a unique blend of cultures and values. This acquisition not only aligns with SPW's growth objectives but also preserves the essence that has made Ace a beloved brand in the realm of boutique hotels. With the deal expected to finalize by the end of September 2025, the future looks promising for this newly united entity in the hospitality sector.