Hotels

Marriott to “jumpstart” all-inclusive offering with hotel group acquisition

Marriott International has agreed to acquire Elegant Hotels Group for approximately £100.8 million ($190.4 million), as it looks to grow its presence in the all-inclusive category.

The offer price implies an enterprise value for Elegant of approximately US$199.0 million ($298.7 million) based on the hotel group’s total net debt of $68.9 million ($100.3 million) as at 31 March 2019.

Elegant owns and operates seven hotels with 588 rooms and a beachfront restaurant on the island of Barbados.

Six of the seven properties are situated along the west coast of Barbados, commonly known as the “Platinum Coast.” The majority of Elegant properties are operated as all-inclusive resorts.

Commenting on the acquisition, Marriott International president and CEO Arne Sorenson said: “There is a strong and growing consumer demand for premium and luxury properties in the all-inclusive category.

“The addition of the Elegant portfolio will help us further jumpstart our expansion in the all-inclusive space, while providing more choices on the breathtaking island of Barbados for our 133 million Marriott Bonvoy members.”

Simon Sherwood, non-executive chairman of Elegant, said: “The board of Elegant Hotels is confident in the group’s long-term prospects, but believes that this offer represents compelling value for our shareholders and a great opportunity for our employees to be part of one of the world’s leading hotel companies.

“The fact that Elegant Hotels has attracted the interest of a company of Marriott’s calibre is a resounding endorsement of the outstanding quality of our properties, operations and people, and indeed of Barbados as a highly desirable destination.

“We are therefore unanimously recommending the offer to shareholders.”

Following the acquisition, Marriott said it intends to carry out renovations to the hotels in the Elegant portfolio. Upon completion of the planned property renovations, Marriott will look to operate all the Elegant hotels as all-inclusive resorts under one or more of its collection brands.

Over time, Marriott said it also intends to market the Elegant hotels for sale subject to long-term management agreements under which it would continue to manage the hotels.

In August, Marriott launched an all-inclusive platform with the goal of growing a worldwide portfolio of resorts in popular vacation segments by leveraging the company’s operational and development expertise, its Marriott Bonvoy travel program and its hotel brands.

Completion of the transaction is subject to satisfaction or waiver of the offer conditions set out in the offer announcement, including approval by Elegant shareholders.

SEE WHAT PEOPLE ARE SAYING

Leave a Reply

Tourism

Award-winning tourism company founder dies in helicopter crash

The founder of a well-known Aussie tourism company has tragically been killed in a helicopter crash in Western Australia.

Share

CommentComments

Hotels

World’s first gold-plated hotel is open for business

The designer of this hotel has crammed as much gold plating into it as possible, including toilets. Yes, you read right: GOLD-PLATED TOILETS.

Share

CommentComments

Travel Agents

AFTA chief says new ‘Tourism Restart Plan’ will unlock “real and immediate benefits” for agents

AFTa’s newly-appointed boss is quickly making his presence felt, this time offering his thoughts on the Tourism Restart Taskforce’s fresh plan for the government.

Share

CommentComments

Wholesalers

Time to hit the road: Contiki launches 14 new ‘Aussie Adventures’

There is no word yet on whether Russell Coight will be leading these new adventures, but we’ve got our fingers and toes crossed.

Share

CommentComments

Destinations

Destination Wrap: Norfolk Island readies for reopening, Switzerland showcases quirky accommodations + MORE

We’ve thrown in everything except a pop quiz in this week’s Destination Wrap, but don’t let that stop you from creating your own to test your info retention ability.

Share

CommentComments

Aviation

International arrivals capped at Sydney Airport due to “pressure” on city quarantine facilities

by Christian Fleetwood

Got a client who’s hoping to get back home to Sydney from overseas in the coming weeks? They may need to hit pause on those plans.

Share

CommentComments

Wholesalers

Wholesaler Wrap: Inspiring Journey’s new domestic and NZ trips, Wendy Wu Tours’ 2021 sale + MORE

Wish you were floating down the Mekong on the pictured river cruise deck? Us too. In fact, we’d take a dinghy down the Minnumurra River at this point.

Share

CommentComments

Destinations

NSW and Victoria border to close

by Christian Fleetwood

While this decision is disappointing for the travel industry, it had to happen. Let’s hope this is the last time the border closes between these two states.

Share

CommentComments

Cruise

STUDY: Almost half of older Aussies say they will never cruise again

The research also revealed just how keen Aussies are to get out and explore their own backyard, and what kind of holidays they are looking for.

Share

CommentComments

Aviation

Qantas teams up with Afterpay

Thanks to Afterpay, Travel Weekly’s editor managed to rapidly grow his collection of creepy garden gnomes during lockdown.

Share

CommentComments

Travel Agents

“I’ve been quite overwhelmed”: Agent wowed by client support

While most travel agents have been busy repatriating clients and working on refunds, one advisor was presented with a golden opportunity.

Share

CommentComments

Destinations

Destination Gold Coast recruits celebs for postcard campaign

A host of celebs and tour operators have been suffering from writer’s cramp after the destination marketing agency asked them to pen 3,000 postcards to Aussie families.

Share

CommentComments