ASHFORD HOSPITALITY TRUST ANNOUNCES REVIEW OF STRATEGIC ALTERNATIVES

Rhea-AI Summary

Ashford Hospitality Trust (NYSE: AHT) announced on Dec 9, 2025 that its Board formed a Special Committee to evaluate strategic alternatives to maximize shareholder value, including a potential transaction.

The company said it has executed a plan to drive EBITDA growth, sell assets, and strengthen its balance sheet but is concerned about a valuation gap between its portfolio and its common stock price. In connection with the review, the company terminated its Series L and M non-traded preferred offering and suspended redemptions for all outstanding non-traded preferred stock. The release included forward-looking statement cautionary language.

Positive

• Special Committee formed to explore value-maximizing alternatives
• Terminated Series L and M non-traded preferred offering
• Board emphasized prior EBITDA growth and asset sales execution

Negative

• Suspended redemptions for all outstanding non-traded preferred stock
• Management cited a valuation gap between portfolio and share price
• Potential transaction review introduces uncertainty on timing

Market Reality Check

$3.16 Last Close

Volume Volume 24,064 is below the 20-day average of 69,574, suggesting limited pre-news positioning. low

Technical Shares at $3.07 are trading below the 200-day MA of $5.98 and about 70% under the 52-week high.

Peers on Argus

AHT was down 2.54% pre-announcement. Peers were mixed: INN (-3.84%), RLJ (-1.5%), PEB (-0.74%), XHR (-0.22%), while SVC rose 0.55%, pointing to stock-specific rather than broad sector-driven dynamics.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Nov 20	Asset sale agreements	Positive	-9.2%	Agreements to sell three hotels to cut debt and improve cash flow.
Oct 14	Preferred dividends	Neutral	-1.1%	Declaration of Q4 2025 and monthly preferred share dividends.
Sep 17	Earnings scheduling	Neutral	-2.1%	Announcement of Q3 2025 earnings release and conference call dates.
Sep 15	Loan refinancing	Positive	+2.1%	Refinancing Renaissance Nashville mortgage on improved terms and rates.
Sep 11	Single asset sale	Positive	+0.5%	Agreement to sell Residence Inn San Diego Sorrento Mesa to reduce leverage.

Pattern Detected

Recent AHT news has more often seen share moves generally aligned with the tone: balance sheet actions and asset sales usually coincided with modestly positive or mixed reactions, though the November asset-sale announcement drew a notably negative response.

Recent Company History

Over the last six months, AHT news has focused on asset sales, refinancing, capital structure, and routine corporate actions. Asset sale announcements in September and November 2025 aimed to reduce leverage and improve cash flow, while a $218.1M refinancing improved loan terms. Dividend declarations for multiple preferred series and scheduling of the Q3 2025 earnings call show ongoing capital markets activity. Today’s strategic alternatives review and preferred-stock changes build directly on this balance-sheet and portfolio-optimization trajectory.

Market Pulse Summary

The stock is surging +40.5% following this news. A strong positive reaction aligns with the board’s decision to review strategic alternatives while AHT trades far below its 52-week high at $3.07. Historical data show mostly aligned price responses to balance-sheet moves, though the -9.21% drop on November’s asset-sale news highlights execution risk. Termination and suspension of non-traded preferred offerings, plus recent net loss metrics from filings, could still temper enthusiasm if potential transactions or restructuring outcomes appear less favorable than hoped.

Key Terms

ebitda financial

""drive outsized EBITDA growth, strategically sell assets, and strengthen""

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

real estate investment trust financial

"Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing"

A real estate investment trust (REIT) is a company that owns and manages income-producing properties—like apartment buildings, shopping centers, offices, or warehouses—and is required to pass most of its rental income to shareholders as dividends. Think of it as a shared property owner: instead of buying a whole building, investors buy a slice of a portfolio that pays regular income and can offer exposure to property values and rental markets without direct management. REITs matter to investors for predictable income, diversification, and liquidity compared with owning physical real estate.

forward-looking statements regulatory

"Certain statements and assumptions in this press release contain or are based upon "forward-looking" information"

Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

AI-generated analysis. Not financial advice.

DALLAS, Dec. 9, 2025 /PRNewswire/ -- Ashford Hospitality Trust, Inc. (NYSE: AHT) (the "Company") announced today that its Board of Directors (the "Board") has formed a Special Committee to evaluate strategic alternatives to maximize shareholder value, including a potential transaction.

"We've been highly encouraged by our success to date in executing our plan to drive outsized EBITDA growth, strategically sell assets, and strengthen our balance sheet," said President and Chief Executive Officer Stephen Zsigray. "However, we remain frustrated by the discrepancy between the value of our underlying portfolio and the market value of our common stock, and the Board has tasked the Special Committee with proactively exploring alternatives to bridge that gap."

In conjunction with forming the Special Committee, the Company has also terminated the current offering of its Series L and M Non-Traded Preferred Stock and suspended redemptions for all of its outstanding non-traded preferred stock.

Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing predominantly in upper upscale, full-service hotels.

Forward-Looking Statements

Certain statements and assumptions in this press release contain or are based upon "forward-looking" information and are being made pursuant to the safe harbor provisions of the federal securities regulations. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "may," "will," "should," "potential," "intend," "expect," "anticipate," "estimate," "approximately," "believe," "could," "project," "predict," or other similar words or expressions. Additionally, statements regarding the following subjects are forward-looking by their nature: our business and investment strategy; anticipated or expected purchases, sales or dispositions of assets; our projected operating results; completion of any pending transactions; our ability to restructure existing property-level indebtedness; our ability to secure additional financing to enable us to operate our business; our understanding of our competition; projected capital expenditures; and the impact of technology on our operations and business. Such forward-looking statements are based on our beliefs, assumptions, and expectations of our future performance taking into account all information currently known to us. These beliefs, assumptions, and expectations can change as a result of many potential events or factors, not all of which are known to us. If a change occurs, our business, financial condition, liquidity, results of operations, plans, and other objectives may vary materially from those expressed in our forward-looking statements. You should carefully consider this risk when you make an investment decision concerning our securities. These and other risk factors are more fully discussed in the Company's filings with the SEC.

The forward-looking statements included in this press release are only made as of the date of this press release. Investors should not place undue reliance on these forward-looking statements. We will not publicly update or revise any forward-looking statements, whether as a result of new information, future events or circumstances, changes in expectations or otherwise except to the extent required by law.

View original content:https://www.prnewswire.com/news-releases/ashford-hospitality-trust-announces-review-of-strategic-alternatives-302637153.html

SOURCE Ashford Hospitality Trust, Inc.

FAQ

What did Ashford Hospitality Trust (AHT) announce on December 9, 2025?

The company formed a Special Committee to evaluate strategic alternatives and terminated its Series L and M non-traded preferred offering.

How does the AHT announcement affect holders of non-traded preferred stock?

The company suspended redemptions for all outstanding non-traded preferred stock, pausing redemption requests.

Will AHT pursue a sale or merger as part of the strategic review?

The Special Committee will evaluate alternatives including a potential transaction, but no transaction has been announced.

Does the AHT announcement include financial guidance or transaction terms?

No financial guidance or transaction terms were provided; the statement focused on the committee formation and capital-actions.

What should AHT shareholders monitor next after the Dec 9, 2025 announcement?

Shareholders should watch for committee updates, any definitive transaction filings, and SEC-disclosed material events.