Blackwells backed Braemar’s move to self-management, said several shareholder concerns have already been addressed, and argued Brancous’ continued public campaign does not serve shareholders.
A new shareholder split has emerged at Braemar Hotels & Resorts Inc. after Blackwells Capital publicly defended the company’s transition away from Ashford Inc. and criticized Brancous LP1’s continued campaign against the board. Blackwells said Braemar’s June 12, 2026 decision to terminate its advisory agreement with Ashford and become a self-managed REIT was a significant step toward a simpler structure more directly accountable to shareholders. Blackwells said it had engaged with Braemar’s board for several years over the economics of the Ashford advisory arrangement and described recent progress as material. It cited a renegotiation of the Company Sale Fee payable to Ashford that reduced the amount owed by about $94.3 million, the retention of Ferguson Partners to identify new independent directors, a commitment to more than $25 million in annual cost savings as a self-managed company, and record-setting asset sale prices. The firm said Brancous, which it said owns about 665,000 Braemar common shares or less than 1% of the outstanding total, has pursued hostile actions including litigation filed in December 2025 against the company and certain current and former directors. Blackwells noted the U.S. District Court for the District of Maryland denied Brancous’s motion for a temporary restraining order, and said shareholders should question what is motivating Brancous to continue its campaign given what Blackwells described as prior opportunities to exit at a profit. That response follows Brancous’ July 13 statement urging Braemar’s board to renegotiate what it described as a $480 million Ashford payment, pay a special dividend of at least $1.00 per share, and let shareholders elect an independent board. Brancous argued the company was pursuing internalization through asset sales in a way that could trigger a Change of Control payment to Ashford and amount to a stealth liquidation. Blackwells rejected further public escalation at this stage, saying the self-management transition is underway, asset sales meant to fund the separation are progressing, and a reconstituted independent board is being assembled.