Royal Caribbean Reportedly Nears Deal for Sandals Valuing Resort Chain at More Than US$6 Billion

Royal Caribbean Group is reportedly nearing a deal to acquire a controlling stake in Sandals Resorts International, a move that could bring one of the Caribbean’s best-known hotel brands under the ownership of the cruise operator.

The proposed transaction would value Sandals at more than US$6 billion, according to a report published Tuesday by the Financial Times. That figure represents the estimated value of the resort business, not the amount Royal Caribbean has agreed to pay. The companies have not announced a deal.

Under the terms being discussed, members of the Stewart family would retain a stake while Royal Caribbean would become the controlling shareholder, according to an account of the Financial Times report. An agreement could be reached in the coming days, but the talks could still end without a transaction.

The development is significant for Antigua and Barbuda, where Sandals operates Sandals Grande Antigua on Dickenson Bay. The adults-only, all-inclusive property is part of the country’s tourism industry. There has been no announcement of any change to its operations, staff or bookings.

For Royal Caribbean, the acquisition would extend its business beyond cruises into Caribbean resort stays. The reported transaction would be the largest acquisition in the cruise company’s history, according to the Financial Times account.

The proposed ownership structure, purchase price and timing remain unconfirmed.

This article was originally published by Antigua News Room. Read the original article here: Sandals reportedly in US$6-billion talks with Royal Caribbean.