Ashford Inc.'sstockholders approved the company's proposed merger with Remington Holdings LP at a specialmeeting held April 12.
The company said April 13 that the merger is expected tocreate the "only public, pure-play provider of asset and propertymanagement services to the lodging industry."
Holders of more than 80% of Ashford shares, representingover 85% of outstanding shares, approved the proposals related to thecombination and voted in favor of the merger. Additionally, approximately 56%of shares, excluding those owned by AshfordHospitality Trust Inc., AshfordHospitality Prime Inc. and insiders and related parties, voted infavor of the transaction.
Under the terms of the deal, Ashford Inc. will establish anew subsidiary structure that will acquire an 80% interest in the hotelproperty and project management company, which is owned by Chairman and CEOMonty Bennett and his father, Archie Bennett Jr. The Bennetts will retain a 20%interest in Remington, as reported previously.
Bennett said in a release that the deal is scheduled forcompletion in the second quarter. The transaction is also subject to receivingan acceptable private letter ruling from the U.S. Internal Revenue Service,receipt of certain tax opinions, satisfaction of other tax related conditionsand other customary closing conditions.
Ashford Inc. is the external manager of hotel REITs AshfordHospitality Trust and Ashford Hospitality Prime.