Royal Caribbean acquires 50% stake in Sandals in $3bn joint venture

Royal Caribbean Group has acquired 50 per cent of Sandals Resorts in a $3 billion joint venture

The cruise giant has signed an agreement with the all-inclusive resort company to "create new opportunities for continued resort growth while broadening the experiences across Royal Caribbean Group's vacation platform," it said.

The joint venture expands Royal Caribbean Group into an adjacent holiday category and will include access to all 20 of Sandals' all-inclusive Caribbean resorts.

Royal Caribbean said the partnership will offer travellers an "unparalleled collection of cruise, private destination and resort experiences, serving guests across more vacation occasions", and will allow the business to explore opportunities to broaden its distribution, deepen guest engagement and make it easier for travellers to discover holiday experiences across both portfolios.

Royal Caribbean has secured committed debt financing from Morgan Stanley to fund the investment and the transaction is expected to close in early 2027.

Existing reservations, loyalty programmes, resort operations and cruise operations will continue as usual.

Jason Liberty, chairman and CEO of Royal Caribbean Group, 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 honored 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 Stewart, executive chairman of Sandals Resorts and Beaches Resorts, 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."

He added: "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."