Choice Hotels to Acquire RV Membership Service Harvest Hosts

Choice Hotels International has entered into an agreement to acquire Harvest Hosts, a membership service for RV (recreational vehicle) travelers. It will acquire all shares from growth equity firm Stripes and other shareholders.

Harvest Hosts is North America’s largest private RV camping network, connecting RV travelers with more than 11,200 host locations, including wineries, farms, breweries, and museums. By paying an annual membership fee, members can stay at locations across the region without accommodation charges. It also operates Escapees RV Club, an RV organization; Boondockers Welcome, which allows RV travelers to host other travelers on their own properties free of charge; CampScanner, which provides alerts on campsite availability at fully booked campgrounds; and Brit Stops, which connects motorhome travelers with small businesses in the United Kingdom and Ireland.

Choice Hotels determined that Harvest Hosts is highly compatible with its existing customer base, noting that many members of its Choice Privileges loyalty program are RV travelers.

The acquisition is valued at approximately US$130 million on an enterprise-value basis and will be paid entirely in cash. The transaction will be funded through cash on hand and borrowings under its existing revolving credit facility.

Harvest Hosts will continue to operate as an independent business under its existing brands after the acquisition. Joel Holland will remain Chief Executive Officer (CEO), and all employees will become Choice Hotels employees.

Choice Hotels President and CEO Dom Dragisich commented, “The acquisition of Harvest Hosts extends our strengths into the attractive outdoor travel market.” Harvest Hosts CEO Holland said, “Partnering with Choice Hotels gives us the opportunity to bring this experience to more people.”

Choice Hotels operates more than 7,500 properties and over 650,000 rooms across 49 countries and territories, with 22 brands.