Breaking: Blackstone Holdings Iii L.P. Just Opened Huge Extended Stay America, Inc Position

Breaking: Blackstone Holdings Iii L.P. Just Opened Huge Extended Stay America, Inc Position

The New Blackstone Holdings Iii L.P. Holding in Extended Stay America, Inc

Blackstone Holdings Iii L.P. filed with the SEC SC 13D/A form for Extended Stay America, Inc. The form can be accessed here: 000119312516732832. As reported in Blackstone Holdings Iii L.P.’s form, the filler as of late owns 19% or 37,653,872 shares of the Consumer Discretionary–company.

Extended Stay America, Inc stake is a new one for the and it was filed because of activity on October 4, 2016. We feel this shows Blackstone Holdings Iii L.P.’s positive view for the stock.

Reasons Why Blackstone Holdings Iii L.P. Bought – Extended Stay America, Inc Stock

Purpose of Transaction

Item 4 shall be supplemented by adding at the end thereof:

October 2016 Secondary Offering

OnSeptember 29, 2016, the Issuers and Sponsors entered into an underwriting agreement (the “September 2016 Underwriting Agreement”) with the underwriters named therein (the “September 2016 Underwriters”).Pursuant to theSeptember 2016 Underwriting Agreement, the Sponsors sold in the aggregate 13,000,000 Paired Shares.The shares were sold at the $14.25 public offering price per Paired Share, less the underwriting discount of $0.09 per Paired Share.Thesale of the Paired Shares pursuant to the September 2016 Underwriting Agreement closed on October 4, 2016.

References to and descriptionsof the September 2016 Underwriting Agreement set forth above in this Item 4 do not purport to be complete and are qualified in their entirety by reference to the full text of the September 2016 Underwriting Agreement, which has been filed as ExhibitI hereto and incorporated by reference herein.

Lock-Up Agreement

In connection with the secondary offering described herein, the Issuers, the Issuers’ executive officers and directors and the Sponsorshave agreed with the September 2016 Underwriters, subject to specified exceptions, not to offer, pledge or sell any of the Paired Shares or securities convertible into or exchangeable for Paired Shares, for a period of 30 days after October 3, 2016except with the prior written consent of Goldman, Sachs & Co.

References to and descriptions of the lock-up agreement set forth abovein this Item 4 does not purport to be complete and are qualified in their entirety by reference to the full text of the lock-up agreement, a form of which has been filed as Exhibit J hereto and incorporated by reference herein.

Share Repurchase

On September 29, 2016,the Issuers and Sponsors entered into a share repurchase agreement (the “September 2016 Repurchase Agreement”), pursuant to which the Sponsors sold back to the Issuers an aggregate of 1,950,000 Paired Shares.The shares were sold at aprice of $14.16 per Paired Share.The sale of the Paired Shares pursuant to the September 2016 Repurchase Agreement closed on October 4, 2016.

Extended Stay America, Inc Institutional Sentiment

Latest Security and Exchange filings show 109 investors own Extended Stay America, Inc. The institutional ownership in Q3 2015 is high, at 104.38% of the outstanding shares. This is increased by 55366296 the total institutional shares. 209499892 were the shares owned by these institutional investors. In total 25 funds opened new Extended Stay America, Inc stakes, 47 increased stakes. There were 10 that closed positions and 31 reduced them.

3 managers had the stock in their top Ten. Notable investors are: Centerbridge Partners L.P., Simcoe Capital Management Llc, Blackstone Group L.P., Goldentree Asset Management Lp..

Raveneur Investment Group Lp is an institutional investor bullish on Extended Stay America, Inc, owning 60307 shares as of Q3 2015 for 0.34% of its portfolio. Steven Tananbaum Goldentree Asset Management Lp owns 787835 shares or 2.16% of its portfolio. NY Blackstone Group Lp have 2.57% of their stock portfolio for 47620730 shares. Further, Adi Capital Management Llc reported stake worth 3.95% of its US stock portfolio. The NY Centerbridge Partners Lp owns 47661591 shares. Extended Stay America, Inc is 46.47% of the manager’s US portfolio.

Business Profile

Extended Stay America, Inc. (Extended Stay) is an integrated owner/operator of company-branded hotels in North America. The Company operates in hotel operations segment. Its business operates in the extended stay lodging industry. It owns and operates approximately 630 hotels comprising over 69,400 rooms located in approximately 40 states across the United States and in Canada. It owns and operates its hotels under its core brand, Extended Stay America, which serves the mid-price extended stay segment. In addition, it owns and operates over three Extended Stay Canada hotels. It operates its hotels owned by ESH Hospitality, Inc. (ESH REIT). The hotels are operated by the Operating Lessees, subsidiaries of the Company and are managed by ESA Management LLC (ESA Management), a subsidiary of the Company. ESH Strategies, a subsidiary of the Company, owns the brands related to its business. The Company’s extended stay hotels are designed to provide lodging or apartment accommodations.

SEC Form 13D is filed within 10 days, by anyone who acquires beneficial ownership of 5%+ of any public firm. Activist investors and practices such as: company breakups, hostile takeovers, and change of control events, are permitted for this form filers. A filer must promptly update its 13D filing in case of acquisition or disposition of 1% or more of the securities that are the subject of the filing.

Insitutional Activity: The institutional sentiment increased to 1.66 in Q2 2016. Its up 0.42, from 1.24 in 2016Q1. The ratio increased, as 14 funds sold all Extended Stay America Inc shares owned while 30 reduced positions. 18 funds bought stakes while 55 increased positions. They now own 197.88 million shares or 0.07% more from 197.73 million shares in 2016Q1.

Fmr Ltd owns 9.81 million shares or 0.02% of their US portfolio. Ngam Ltd Partnership owns 261,383 shares or 0.05% of their US portfolio. Alpine Woods Capital Investors Limited Liability Company holds 0.08% or 87,464 shares in its portfolio. Fund has 0% invested in the company for 28,042 shares. Hbk Invests Limited Partnership accumulated 0% or 17,849 shares. Tiaa Cref Mgmt Lc has 2.84 million shares for 0.03% of their US portfolio. Wells Fargo Mn accumulated 1.40M shares or 0.01% of the stock. Public Employees Retirement Association Of Colorado, a Colorado-based fund reported 2,363 shares. Cipher Lp, a New York-based fund reported 21,485 shares. West Oak Cap Limited Company accumulated 0% or 2,055 shares. Moreover, D E Shaw And Co has 0.01% invested in Extended Stay America Inc (NYSE:STAY) for 259,784 shares. Tudor Inv Et Al has invested 0.02% of its portfolio in Extended Stay America Inc (NYSE:STAY). Moreover, Schwab Charles has 0% invested in Extended Stay America Inc (NYSE:STAY) for 137,571 shares. Thompson Davis And Inc has 84 shares for 0% of their US portfolio. Winfield Assoc Inc has invested 0% of its portfolio in Extended Stay America Inc (NYSE:STAY).

About 914,131 shares traded hands or 25.64% up from the average. Extended Stay America Inc (NYSE:STAY) has declined 6.83% since March 3, 2016 and is downtrending. It has underperformed by 15.17% the S&P500.

Extended Stay America, Inc. is an integrated owner/operator of company-branded hotels in North America. The company has a market cap of $2.77 billion. The Firm operates in hotel activities segment. It has a 25.25 P/E ratio. The Company’s business operates in the extended stay lodging industry.

Extended Stay America Inc (NYSE:STAY) Ratings Coverage

Out of 7 analysts covering Extended Stay America (NYSE:STAY), 2 rate it a “Buy”, 1 “Sell”, while 4 “Hold”. This means 29% are positive. $26 is the highest target while $14 is the lowest. The $18.50 average target is 32.62% above today’s ($13.95) stock price. Extended Stay America has been the topic of 11 analyst reports since August 3, 2015 according to StockzIntelligence Inc. The company was upgraded on Monday, August 3 by Robert W. Baird. As per Monday, September 26, the company rating was initiated by Goldman Sachs. The stock of Extended Stay America Inc (NYSE:STAY) earned “Buy” rating by Deutsche Bank on Friday, July 31. The firm earned “Neutral” rating on Thursday, January 14 by M Partners. Deutsche Bank maintained it with “Buy” rating and $26 target price in Wednesday, October 28 report. Bank of America downgraded Extended Stay America Inc (NYSE:STAY) on Tuesday, July 21 to “Underperform” rating. Citigroup maintained Extended Stay America Inc (NYSE:STAY) rating on Wednesday, August 17. Citigroup has “Neutral” rating and $15 price target.

More important recent Extended Stay America Inc (NYSE:STAY) news were published by: Businesswire.com which released: “Extended Stay America Announces Secondary Offering and Repurchase of Paired Shares” on September 29, 2016, also Prnewswire.com published article titled: “Extended Stay America Announces Resignation Of Chief Marketing Officer”, Businesswire.com published: “Extended Stay America, Inc. Announces Launch of New Credit Facilities” on August 05, 2016. More interesting news about Extended Stay America Inc (NYSE:STAY) was released by: Forbes.com and their article: “Ex-Dividend Reminder: Mondelez International, McCormick and Extended Stay America” with publication date: December 28, 2015.

According to Zacks Investment Research, “Extended Stay America, Inc. owns and operates hotels under the core brand, Extended Stay America(R). It is the owner/operator of company-branded hotels in North America. The Company offers guest rooms, dining services, on-site laundry, local phone calls, personalized voicemail, pools, fitness centers, and pet friendly accommodations. Extended Stay America, Inc. is headquartered in Charlotte, North Carolina.”

STAY Company Profile

Extended Stay America, Inc. (Extended Stay), incorporated on July 8, 2013, is an integrated owner/operator of company-branded hotels in North America. The Firm operates in hotel activities segment. The Company’s business operates in the extended stay lodging industry. The Firm owns and operates approximately 630 hotels comprising over 69,400 rooms located in approximately 40 states across the United States and in Canada. It owns and operates its hotels under its core brand, Extended Stay America, which serves the mid-price extended stay segment. In addition, the Company owns and operates over three Extended Stay Canada hotels. The Firm operates its hotels owned by ESH Hospitality, Inc. (ESH REIT). The hotels are operated by the Operating Lessees, subsidiaries of the Company and are managed by ESA Management LLC (ESA Management), a subsidiary of the Company. ESH Strategies, a subsidiary of the Company, owns the brands related to its business.

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