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Consortium wants Starwood Hotels & Resorts Worldwide for $76 per share

Staff writer ▼ | March 14, 2016
Starwood Hotels & Resorts Worldwide received a non-binding proposal from a consortium of companies to acquire all of the outstanding shares of common stock of Starwood for $76 per share in cash.
Acquisition   Starwood entered into a definitive merger agreement with Marriott
Pursuant to separate agreements entered into by Starwood, stockholders would additionally receive consideration in the form of Interval Leisure Group (ILG) common stock from the previously announced spin-off of its vacation ownership business, Vistana Signature Experiences, and subsequent merger with ILG, currently valued at approximately $5.50 per Starwood share, based on the 20-day VWAP (volume weighted average price) of ILG common stock ending March 11, 2016.

As announced on November 16, 2015, Starwood entered into a definitive merger agreement with Marriott International under which Marriott would acquire Starwood in a stock and cash transaction.

Starwood has received a waiver from Marriott enabling it to engage in discussions with, and provide diligence information to, the consortium in connection with its proposal.

Starwood commenced discussions with the consortium on March 11, 2016. The Marriott waiver expires at 11:59 pm Eastern Time on March 17, 2016.

Starwood board has not changed its recommendation in support of Starwood’s merger with Marriott. The consortium has not completed diligence and there are a number of matters to be resolved in the consortium’s proposal.