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

Aviation

“It was a tough choice”: Qantas reveals preferred aircraft as part of BIG Project Sunrise update

Will it be Boeing or Airbus sending Alan Joyce an oversized Christmas hamper this year? All is revealed here.

Share

CommentComments

Hotels

New Accor hotel to sit atop a Bunnings

by Christian Fleetwood

We’re unsure what kind of traveller will take advantage of this whacky partnership, but somewhere, a travelling handy-person is jumping for joy.

Share

CommentComments

Aviation

Europe’s “greenest airline” flight shames business class with confrontational video

This airline says business class should be banned due to seats producing significantly more emissions per flight than economy.

Share

CommentComments

Travel Agents

STUDY: Growing safety concerns among Aussie travellers an opportunity for travel agents

Travel agents have an opportunity to promote lesser-known destinations where people can still maintain a sense of safety, according to this new report.

Share

CommentComments

Destinations

Rescuers recover six bodies after White Island eruption

New Zealand authorities have begun the process of retrieving the bodies of the remaining victims of the tragic volcanic eruption on New Zealand’s White Island.

Share

CommentComments

Tourism

Flavour of the Week: Tourism Fiji’s new Aussie boss, Helloworld resignation + MORE!

Wanna know what some of your former colleagues who you worked with years ago are doing now? Well, our Flavour of the Week wrap may or may not contain the answers.

Share

CommentComments

Aviation

At least 30 flights cancelled as Jetstar workers walk off the job

by Ali Coulton

Jetstar’s mammoth weekend of strikes has officially kicked off, with thousands of passengers expected to be affected in the coming days.

Share

CommentComments

Aviation

Milo the cat found after two months missing in a US airport

We’re not usually ones to exaggerate, but this story managed to thaw the cockles of our cold, end-of-week hearts in such a huge way that we’ve been reduced to puddles on the floor.

Share

CommentComments

Travel Agents

Agent Wrap: Globus’ new agent portal, Excite shows agents luxe Singapore, Silversea rewards agents + MORE!

Are your weekend plans looking somewhat lacklustre? Feel free to live vicariously through all these recent fantastic famils and events that agents attended.

Share

CommentComments

Destinations

Aloha Friday Wrap: All that’s happening on Hawaii’s Big Island in 2020, Hawaiian Airlines flash sale + MORE!

It’s with great sadness that we announce this will be the last Aloha Friday Wrap for 2019. However, it’s with much joy that we can reveal it will be back in 2020!

Share

CommentComments

Aviation

Hawaiian Airlines launches epic flash sale!

Hawaiian Airlines has launched an epic flash sale, with fares from Sydney or Brisbane to Honolulu from $799 return.

Share

CommentComments

Travel Agents

Travel Counsellors agents explore Kauai and Oahu

Ten Travel Counsellors agents travelled to the islands of Kauai and Oahu this week on a famil with Hawaii Tourism Oceania.

Share

CommentComments