Hyatt Hotels is expanding its all-inclusive portfolio with the acquisition of Playa Hotels and Resorts for approximately US$2.6 billion.
Playa is a leading owner and operator of all-inclusive resorts in Mexico, the Dominican Republic and Jamaica and Hyatt is currently the beneficial owner of 9.4% of Playa’s outstanding shares.
The agreement, announced this week, will see Hyatt acquire all outstanding shares for $13.50 per share, including approximately $900 million of debt, net of cash.
“Hyatt has firmly established itself as a leader in the all-inclusive space, a journey that began in 2013 through an investment in Playa Hotels and Resorts that launched the Hyatt Ziva and Hyatt Zilara brands,” said Hyatt President and Chief Executive Officer, Mark Hoplamazian.
“We have respected and benefitted from Playa’s operating expertise and outstanding guest experience delivery for years through their ownership and management of eight of our Hyatt Ziva and Hyatt Zilara hotels.
“This pending transaction allows us to broaden our portfolio while providing more value to all of our stakeholders through an expanded management platform for all-inclusive resorts.”
The acquisition, expected to close later this year, provides an opportunity to secure long-term management agreements for Hyatt’s luxury all-inclusive Hyatt Ziva and Hyatt Zilara branded properties.
It also will expand Hyatt’s distribution channels, including ALG Vacations and Unlimited Vacation Club, to Playa’s portfolio.