Royal Caribbean to Acquire 50% Stake in Sandals and Beaches Resorts for $3 Billion
Royal Caribbean Group (RCL) has agreed to acquire a 50% stake in Sandals and Beaches Resorts for approximately $3 billion, marking its entry into the all-inclusive resort market. The joint venture will combine Royal Caribbean's cruise operations with Sandals' Caribbean resorts portfolio. The deal values the resort business at around 10 times forward EBITDA. Morgan Stanley is providing debt financing to fund the acquisition, which is expected to close in early 2027 after regulatory approvals. The partnership aims to expand both companies’ offerings and provide customers with integrated access to cruise and resort experiences. Sandals Executive Chairman Adam Stewart will lead alongside Royal Caribbean CEO Jason Liberty in managing the joint venture. While Royal Caribbean expects the investment to contribute positively to earnings next year, it has not disclosed specific financial projections.
