The European Commission announced its approval of the acquisition of Germany’s Motel One Group GMBH by Luxembourg-based PAI Partners Sarl on Wednesday 16 April 2025, concluding that the transaction would not raise competition concerns due to the companies’ limited combined market position. The deal was reviewed under the simplified merger review procedure in accordance with the EU merger regulation.

The proposed acquisition involved PAI Partners Sarl, a fund management company approved and regulated by the Financial Sector Supervisory Commission (CSSF) in Luxembourg, securing sole control of Motel One Group GMBH. The notification of the transaction was formally received by the commission on 24 March 2025. The acquisition was executed through Moonrise Hospitality Group GMBH, a company ultimately indirectly controlled by funds managed and advised by PAI Partners.

PAI Partners is an independent private equity firm with over €27bn in assets under management and since 1994, has completed more than 100 investments across 12 countries, and realised over €26bn in proceeds from more than 60 exits. The firm focuses on acquiring controlling interests in companies across four main sectors: business services, food and consumer products, general industrials and healthcare. Through its portfolio companies, it generates revenues throughout the EU and other global markets.

Founded in 2000 and headquartered in Munich, Motel One operates in the budget design hotel segment. As of February 2025, the group operated 99 hotels with a total of 27,928 rooms across 13 countries, including Austria, Belgium, the Czech Republic, Denmark, France, Germany, Ireland, the Netherlands, Poland, Spain, the United Kingdom and the United States.

The transaction was initially on 3 March 2025 as part of a proprietary partnership between PAI Partners and a consortium led by Dieter Müller for Motel One Group. It remains subject to customary regulatory approvals and was expected to close in the second quarter of 2025.