Skift Take
Given a string of bad luck events, it can seem like Ace Hotels is a jinxed brand. But any visit to its properties in New York, New Orleans, or LA will reveal an electric vibe that's a reminder it can be salvaged and taken to the next level.
At the start of the year, Sortis Holdings said it would acquire Ace Group International, owner of Ace Hotels, for $85 million in cash. Now the deal is off.
The two sides had sued each other, with Ace executives claiming Sortis didn't have the cash to complete the all-cash deal. Sortis alleged that Ace had, in bad faith, signed a partnership that went against the terms of the deal.
In August, the two sides reached terms to settle out of court, keeping the merger on track. But then fresh problems emerged.
"After the settlement agreement, the [Ace] business experienced material changes,