Based in the Netherlands, boutique hotel brand citizenM is currently exploring various options for its portfolio, including the potential sale of a stake in the business, according to information from the Financial Times. Advisers Morgan Stanley and real estate investment bank Eastdil Secured have been asked to look at strategic alternatives for the brand.

While discussions are still at an early stage, citizenM is reportedly considering selling a minority stake. A spokesperson close to the matter suggested that the value of citizenM could approach 4.327 billion dollars (4 billion euros) as part of such a transaction.

The aim is to encourage institutional investors to support the company's ongoing growth efforts, while possibly offering existing investors the opportunity to sell their shares.

Founded by Rattan Chadha, citizenM attracted significant investment in 2021, securing $1 billion from leading investors such as Singapore sovereign wealth fund GIC, Dutch pension fund APG Asset Management and investment firm KKR Capital. APG currently holds the largest stake in citizenM, while GIC acquired a 25% stake in 2019, valued at $2.3 billion (€2 billion) including debt.

Later this year, citizenM is set to open two new locations in the US, in Boston and Miami. In addition, sites in Dublin, London and Washington DC are set to be introduced in 2025, demonstrating the brand's strong expansion plans.

Since opening its first property at Schiphol Airport in the Netherlands in 2008, CitizenM has consolidated its position as a global player in the hospitality sector. Founded in 2008 under the leadership of Rattan Chadha, the brand has grown significantly since its inception from an initial collection of 15 hotels. Over the past year, CitizenM has expanded its portfolio to more than 40 properties and 10,000 rooms, spanning North America, Europe and Asia.