Royal Caribbean Acquires 50% Stake in Sandals Resorts for $3 Billion
Royal Caribbean Group has agreed to acquire a 50% equity stake in Sandals and Beaches Resorts for approximately $3 billion, forming a joint venture. The deal values the all-inclusive resort operator at $6 billion and is expected to close by early 2027 after regulatory approvals are secured. Royal Caribbean stated that it has arranged committed debt financing from Morgan Stanley to fund its investment in this strategic move into land-based tourism. The partnership will be co-led by Royal Caribbean's CEO Jason Liberty and Sandals' Executive Chairman Adam Stewart, who will continue guiding the company’s long-term strategy. The transaction is projected to enhance earnings next year and aligns with Royal Caribbean's broader expansion beyond cruising into vacation experiences on land. Sandals operates resorts across multiple Caribbean destinations under its adults-only Sandals brand and family-focused Beaches brand. Royal Caribbean has been adjusting its growth targets, recently lowering annual revenue expectations slightly due to softer demand in certain markets linked to geopolitical tensions. However, the company raised its full-year adjusted earnings outlook for 2026.
Topics: $3 billion deal Joint Venture Royal Caribbean Sandals Resorts