Marriott International acquires Elegant Hotels Group
Following the acquisition, Marriott intends to carry out renovations to the hotels
Marriott International has signed an agreement to acquire Elegant Hotels, as part of its plans to expand its all-inclusive resort division.
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.
According to Marriott, the agreement was reached on “the terms of a recommended all cash offer for Elegant. Under the terms of the offer, each Elegant shareholder would be entitled to receive 110 pence per Elegant share”.
“There is a strong and growing consumer demand for premium and luxury properties in the all-inclusive category,” said Arne Sorenson, president and chief executive officer, Marriott International. “The addition of the Elegant portfolio will help us further jumpstart our expansion in the all-inclusive space, while providing more choices on the island of Barbados for our 133 million Marriott Bonvoy members,” he added.
Following the acquisition, Marriott intends to carry out renovations to the hotels in the Elegant portfolio. Upon completion of the planned property renovations, the hospitality giant intends to operate all the Elegant hotels as all-inclusive resorts under one or more of Marriott’s collection brands.
In keeping with Marriott’s asset-light strategy, over time, Marriott also intends to market the Elegant hotels for sale subject to long-term management agreements under which Marriott would continue to manage the hotels.