Queensgate completes Generator debt restructure

1. Queensgate completes £428m debt restructure for Generator Group

2. Queensgate Investments has completed an approximate €500m (£428m) debt restructuring for Generator Group, which owns, operates and develops accommodation across Europe and North America, including one design-ledhostelinLondon.

3. Funds managed by Apollo Global Management provided nearly €100m (£86m) in secured additional financing restructuring. in support of the Generator Group has 19 hotels, with a total of 3,194 rooms or 11,390 beds in 17 gateway cities across 10 countries, 17 of which are owned. The now 900-bed London property near London's King's Cross station was the group's first when Queensgate Investments acquired Generator in2018. it opened in 1995.

4. Jason Kow, chief executive of Queensgate Investments, said: "Queensgate Investments is proud to have completed the restructure of the largest multi-jurisdictional financings during the Covid pandemic to support one of the most exciting asset-backed hospitalityplatformsonthestreet." Skardon Baker, seniorpartner of Apollo, said: "This transaction showcased the breadth ofApollo's expertisewith respect toofferingwell-structured, asset-backed capital solutions for complex recapitalisation and restructuring transactions. We were pleased to provide Queensgatewithacreativefinancingsolutionforadiverseportfolioofhospitalityassets." Ivo Kolev, also a partner at Apollo, added: "We are pleased to have worked with Generator's sponsor, creditors and management team to ensure an appropriate capital base addressing the operational and earnings dislocation of the current Covid-19 pandemic and look forward to working with the company as it goes through this challengingoperatingenvironment."

5. Queensgate completes Generator debt restructure

6. EU/US: A circa €500 million debt restructuring for Generator Group, a lifestyle hospitality platform which owns, operates and develops assets across Europe and North America, has beencompletedbyQueensgateInvestments. Generator Group consists of 19 hotels with a total of 3,194 rooms in 17 gateway cities across 10 countries. 17 of these properties are fully owned, and all are independently branded and operatedbyanintegratedhotelmanagementteam. Apollo Global Management provided nearly €100 million in secured additional financing in supportoftherestructuring.

7. Jason Kow, CEO of Queensgate Investments, said: “Queensgate Investments is proud to have completed the restructure of the largest multi-jurisdictional financings during the Covid pandemic to support one of the most exciting asset-backed hospitality platforms on the street.With the Millennial and Generator Z customer base, we are confident of a rapid and resilient recovery once travel restrictionsarelifted.” Skardon Baker, senior partner of Apollo, said: “This transaction showcased the breadth of Apollo’s expertise with respect to offering well-structured, asset backed capital solutions for complex recapitalisation and restructuring transactions. We were pleased to provide Queensgate with a creativefinancingsolutionforadiverseportfolioofhospitalityassets.” Ivo Kolev, partner of Apollo, added: “We are pleased to have worked with Generator’s sponsor, creditors and managementteamtoensure anappropriatecapitalbaseaddressing theoperationaland earnings dislocationofthe currentCovid-19pandemic andlook forwardtoworkingwiththe company asitgoesthroughthischallengingoperatingenvironment.”

8. Queensgate Investment advises and manages around £3 billion worth of assets through the suite of the company’s funds. It acquired Freehand HotelsfromSydellGroupforaround£400millionin2019. Apollo is a global investment manager with approximately $455 billion of assets under management in credit, private equity and real assets funds (asofDec312020).