Blackstone in exclusive talks to buy Village Hotels - report

Private equity firm Blackstone is reportedly in exclusive talks to buy UK mid-market hotel chain Village Hotels.

According to Sky News, Blackstone has entered a period of exclusivity to buy Village Hotels, which is being auctioned by bankers at Morgan Stanley.

The chain was put up for sale earlier this year with a valuation of about £850m.

The news comes just days after Sky News revealed that Blackstone had tabled an offer for Village.

US investment firm Sixth Street and Aermont, the majority backer of Pinewood Studios, were also interested in buying the company.

Village, which operates more than 30 sites across the UK, is owned by KSL Capital Partners, another buyout firm.

Its portfolio of properties includes sites in Aberdeen and Bournemouth, with rooms available at budget prices.

Founded in 1995 as Village Urban Resorts, the hotels feature pub-style restaurants and gyms.

Blackstone declined to comment to Sky.