Marriot International and Starwood Hotels & Resorts Worldwide announced today that the boards of directors of both companies have approved a definitive merger agreement under which the companies will create the world's largest hotel company. The Combined Company Will Have 1.1 million rooms in more than 5,500 hotels, spanning over 100 countries and combines Starwood's leading lifestyle brands and international footprint with Marriott's strong presence in the luxury and select-service tiers, as well as the convention and resort segment, creating a more comprehensive portfolio.
This is one of the biggest deals in the industry ever and transaction costs for the merger are expected to total approximately $100 to $150 million USD as Marriott will assume Starwood's recourse debt at the closing of the transaction.
How This Merge Can Benefit You
There’s still a lot of work still ahead to integrate both companies and create synergies in place. Moreover, according to Marriot officials, it’s still too early to know what’s going to happen to current credit card partnerships. For now, everything remains the same.
However, the merged company will offer a choice of 30 leading brands that will provide guests with more and unmatched choices, operating more than 5,500 hotels with 1.1 million rooms worldwide.
That will – probably – mean more redemption possibilities for frequent guests across the entire network and a bigger choice in terms of brands and geographic reach of the company.
Stay tuned at Travel Consulting Hub's blog for more information about this massive deal and let us know your thoughts about this merge! Do you think it will benefit the customers globally?...
About Marriott International, Inc.
Marriott International, Inc. (NASDAQ: MAR) is a global leading lodging company based in Bethesda, Maryland, USA, with more than 4,300 properties in 85 countries and territories. Marriott International reported revenues of nearly $14 billion in fiscal year 2014.
About Starwood Hotels & Resorts Worldwide, Inc.
Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and leisure companies in the world with more than 1,270 properties in some 100 countries and over 180,000 employees at its owned and managed properties.
Starwood is a fully integrated owner, operator and franchisor of hotels, resorts and residences under the renowned brands: St. Regis®, The Luxury Collection®, W®, Design Hotels, Westin®, Le Meridien®, Sheraton®, Four Points® by Sheraton, Aloft®, Element®, and the recently introduced Tribute Portfolio™.