By the Caribbean Journal staff
In the biggest hotel transaction in the Caribbean so far in 2018, Playa Hotels and Resorts has acquired a substantial portfolio of resorts in Jamaica.
The company has acquired the Hilton Rose Hall, the Jewel Runaway Bay, the Jewel Dunn’s River, the Jewel Paradise Cove and an 88-room hotel tower and spa at the Jewel Grande Montego Bay.
Playa will manage all five properties, and will manage the entire Jewel Grande resort at closing, according to a release.
The deal also includes two developable land sites with a potential density of up to 700 rooms.
Under the terms of the sale, Sagicor is receiving 20 million shares of Playa common stock and $100 million in cash. That represents a total of more than $300 million USD.
Playa is best known as the owner and operator of Hyatt’s Ziva and Zilara all-inclusive properties in the Caribbean, including in Montego Bay and Cancun.
“Playa’s development track record, management expertise, strong regional presence and deep customer relationships will contribute significantly to improving the Sagicor portfolio performance,” said Bruce Wardinski, Chairman and CEO of Playa Hotels & Resorts. “Most importantly, this transaction provides Playa with multi-year built-in growth opportunities, which we expect will drive outstanding financial returns,” Wardinski continued.
Playa also recently launched resorts under the Panama Jack brand, and took over management of the Sanctuary Cap Cana in the Dominican Republic late last year.