Is Royal Caribbean Buying Sandals Resorts?

The Financial Times is reporting that Royal Caribbean Group is close to a deal to buy a majority stake in Sandals Resorts International, a company with 20 all-inclusive resorts in the Caribbean and Bahamas.

The deal would put Sandals Resorts International’s value at $6 billion, and it would be Royal Caribbean Group’s largest deal in its history. They already own the largest cruise line in the world, Royal Caribbean, with 30 ships in service.

The FT said that if the deal goes through, Royal Caribbean would become the largest shareholder in Sandals, with the Stewart family retaining equity holdings in the company.

CNBC said that Royal Caribbean would buy a $3 billion stake in Sandals to own half the company, according to a person familiar with the matter.

The deal has not been finalized, but sources say an agreement could be reached in a few days. Talks could also collapse before a deal is completed.

Royal Caribbean’s stock ($RCL) dropped from $255 to $231 a share in the first hour after a potential deal was announced. The stock closed at $234.89.

This is not the first time that Royal Caribbean has looked into buying a resort. A few years ago, they were in talks to buy the Grand Lucayan Resort in Freeport, Bahamas, but the deal never went through.

The cruise giant also received government approval to buy the long-closed Xanadu Beach Hotel in Freeport in the spring of 2025. The deal went through this summer, and Royal Caribbean paid $30 million for it.

The Tribune reported that Royal Caribbean was also in the final stages of completing a deal to buy the Royal Oasis on Grand Bahama Island, with plans to use it to create a private destination for their guests.

Last summer, Royal Caribbean’s main competitor, Carnival Cruise Line, opened a private beach destination, Celebration Key, on Grand Bahama Island for their ships to visit.

Cruise Fever will have all updates if Royal Caribbean does, in fact, end up buying Sandals Resorts International and the new vacation options that could come to Royal Caribbean guests.

Royal Caribbean currently owns three cruise lines (Royal Caribbean, Celebrity Cruises, and Silversea), and a 40% stake in the Grand Bahama shipyard.