Royal Caribbean Group is to take a 50% stake in Sandals Resorts at the cost of $3 billion, after the two companies agreed a joint venture.
Announcing the deal, they said the joint venture ‘will create new opportunities for continued resort growth while broadening the experiences across Royal Caribbean Group’s vacation platform’.
Royal Caribbean Group has secured debt financing from Morgan Stanley to fund the investment. The transaction is expected to complete in early 2027, subject to customary approvals and closing conditions.
Royal Caribbean Chairman and CEO Jason Liberty (pictured, left) and Sandals Resorts Executive Chairman Adam Stewart (pictured, right) signed the agreement at the cruise giant’s new headquarters in Miami.
In a joint statement, the companies said: “United in a shared history in the Caribbean and connected by a love for their communities, the companies will offer travellers an unparalleled collection of cruise, private destination and resort experiences, serving guests across more vacation occasions and establishing their undisputed leadership in Caribbean vacations.”
Adam said the deal would have made his late father, Sandals founder Gordon ‘Butch’ Stewart, ‘incredibly proud’.
Jason said: “For nearly 60 years, we’ve reimagined what a vacation can be, constantly expanding the ways we inspire our guests to explore, connect and create lifelong memories.
“We have been building a vacation platform that brings joy to millions of people around the world and creates meaningful relationships that last with our guests.
“Our partnership with Sandals and Beaches Resorts is an important next step on that journey – bringing together two iconic leading vacation companies to further strengthen and grow one of the most admired resort portfolios in the world.
“The Stewart family has created powerful and beloved brands, and we are honoured to build on that legacy. Together, we see tremendous opportunity to expand the reach of Sandals and Beaches Resorts and continue turning the vacation of a lifetime into a lifetime of vacations.”
Adam said: “My father, Gordon ‘Butch’ Stewart, founded Sandals Resorts with the belief that a company built in the Caribbean could stand on the world stage alongside the most respected names in hospitality. Today is proof of how far that vision can go.
“This partnership is the natural next step in building on that conviction. It gives us the ability to grow faster with a partner that shares our values of exceptional hospitality, long-term investment, and the power of enduring brands. Together, we will introduce more guests to Sandals and Beaches Resorts while creating even more extraordinary experiences for those who have made our resorts part of their lives for decades.
“As we continue to grow, we will remain true to what has always defined us: delivering authentic vacations that exceed expectations while creating opportunities for our team members, travel advisor partners and the communities we call home. The future has never been brighter, and I know this moment would make my father incredibly proud.”
Sandals has a portfolio of adult-only, all-inclusive Caribbean properties under the Sandals Resorts brand, and family all-inclusives in the region under the Beaches Resorts brand.
Royal Caribbean Group operates three brands – Royal Caribbean, Celebrity Cruises, and Silversea – and has a 50% joint venture interest in TUI Cruises, which operates the Mein Schiff and Hapag-Lloyd brands.
