Hyatt has entered into an agreement to acquire all outstanding shares of Playa Hotels & Resorts for $2.6 billion, including around $900 million of debt.
The hospitality company - which already has a 9.4 percent stake in Playa - will further expand its all-inclusive resort network through the addition of Playa resorts across Mexico, the Dominican Republic and Jamaica.
The acquisition follows the 2024 completion of a 50/50 strategic joint venture with Grupo Piñero which added the Bahia Principe Hotels & Resorts portfolio to Hyatt’s Inclusive Collection as well as the 2021 acquisition of Apple Leisure Group for $2.7 billion.
Hyatt says the acquisition provides an opportunity to secure long-term management agreements for its luxury all-inclusive Hyatt Ziva and Hyatt Zilara branded properties.
Hyatt expects to fund 100 per cent of the acquisition with new debt financing and expects to pay down over 80 per cent of the new debt financing with proceeds from asset sales.
What they said
Mark Hoplamazian, president & chief executive officer of Hyatt said: “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 & Resorts. This 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.”