Royal Caribbean plans $3 billion Sandals investment
A new joint venture would give the cruise company a 50% interest in the Caribbean resort operator.
Royal Caribbean Group plans to invest $3 billion in Sandals and acquire a 50% interest in the resort company through a new joint venture. Barclays analysts calculate that the 45-year-old Sandals chain operates 20 Caribbean resorts with 6,395 rooms.
Royal Caribbean said the companies intend to consider ways to expand distribution, strengthen engagement with guests and simplify how travelers find vacation options across their respective portfolios. The cruise group also reported that, during the previous two years, 30% of its passengers overlapped with the customer base for Caribbean all-inclusive resorts.
The Florida-Caribbean Cruise Association characterized the agreement as a forward-looking step for the region’s tourism sector. Separately, Sandals plans to invest $1 billion over five years to expand its Beaches brand from three properties to six, adding locations in Barbados, the Bahamas and Jamaica.
Royal Caribbean Group and its partner cruise lines have about 190,000 berths across 71 ships worldwide, according to the report. They also have 14 ships on order, totaling 43,230 berths, with deliveries scheduled between 2027 and 2032.
