Royal Caribbean plans $3 billion stake in Sandals and Beaches Resorts
The cruise company’s investment will cover half of the resort business and is expected to close in early 2027.
Royal Caribbean will acquire a 50% equity stake in Sandals and Beaches Resorts for $3 billion, with the transaction expected to close in early 2027. Royal Caribbean Group said the valuation is based on a forward earnings before interest, taxes, depreciation and amortization multiple.
Royal Caribbean Group said the partnership will include 20 all-inclusive Sandals and Beaches properties across the Caribbean. The company has secured committed debt financing from Morgan Stanley to fund the investment.
The joint venture will be overseen by a board led by Adam Stewart and Jason Liberty. Existing reservations and loyalty programs will continue as usual, as will resort and cruise operations.
Royal Caribbean Group shares were at $224.03 in Wednesday morning trading, down 5%. Carnival shares were at $21.69, down 3%, while Norwegian Cruise Line Holdings was trading at $13.77, also down 3%.
