Consortium Led By Carlyle Agrees to Buy China's 7 Days

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A Carlyle Group-led consortium has reached an agreement to buy 7 Days Group Holdings Ltd., a Chinese economy hotel chain, to make it private, following a rise in its offer to $688 million by 9%.

Last September, the Chinese chain was initially approached by the consortium which includes Carlyle Group, Boquan, Actis and Sequoia Capital.

All consortium firms concluded to make payment of $13.80 for each share of 7 Days, indicating a 30.6% premium over the closing price on September 25.

China's 7 Days is running limited-service hotels under the brand 7 Days Inn across major metropolitan areas in the Asian country. Before it received the offer from the consortium to go private, it had been losing half of its value since 2010.

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