One Hotels and Resorts GmbH, the investment group of founder Dieter Mueller, bought back Proprium Capital Partners' 35% stake for 1.25 billion euros, giving the majority shareholder sole ownership, according to a statement from the company.

Motel One said it had spun off its hotel properties in preparation for an initial public offering as part of the deal.

"The buyout and the spin-off of the properties are important steps for Motel One in preparation for the planned IPO in the medium term," Mueller said in the statement.

In October last year, Mueller told the AHGZ industry news outlet that he planned an IPO in the next two to three years.

Proprium's investment in Motel One has more than paid off. It invested 65 million euros in 2007 as part of a capital increase. The Financial Times reported that this investment had increased over twenty-fold, including dividend payments.

Motel One, which runs 94 hotels in 13 countries, said it expects earnings to grow in 2024 as it plans to open seven new hotels.

In 2023, the company generated revenue of 852 million euros and earnings before interest, taxes, depreciation, and amortization (EBITDA) of 281 million euros.

Reporting by Alexander Huebner, Writing by Rachel More