Editorial Summary

Chinese budget hotel chain Motel 168 has received an investment from Morgan Stanley and is currently planning a public listing, reports China Securities Journal. China currently has 800 to 1,000 economy hotels nationwide with a total of 100,000 hotel rooms, said the report quoting China Hotel Association assistant to the president Zhang Minghou. The top two budget hotel chains in China are JinJiang Inn and Home Inn (Nasdaq: HMIN), said the report. Guangzhou and Shenzhen based budget hotel chain 7 Days Inn received a US$10 million investment from Warburg Pincus last October and plans to have over 100 hotels by the end of this year. China’s budget hotel market only accounts for ten percent of the total Chinese hotel market.