Signal brief

Blackwells Capital endorses Braemar Hotels & Resorts’ plan to terminate its advisory with Ashford Inc. and pursue self-management as a REIT, highlighting governance improvements and ongoing asset-sale momentum. The firm notes a $94.3 million reduction in Ashford fees, more than $25 million in annual cost savings, and a reconstituted independent board, while cautioning about Brancous’ activist actions and the need to assess a potential special dividend once momentum builds.

• Blackwells backs Braemar's self-managed REIT transition. Sees improved accountability.
• Brancous owns ~665k Braemar shares (<1%), pursuing litigation; motives unclear.
• Ashford fee renegotiated, saving ~$94.3 million; $25m+ annual cost savings anticipated.
• Self-management progress; asset sales fund Ashford separation; possible special dividend later.
• Blackwells will monitor; urges other shareholders to evaluate Brancous statements.