Starwood accepts Anbang’s $13.2B takeover offer

Chinese insurance giant outbid rival Marriott to acquire hotel operator

New York /
Mar.March 18, 2016 10:05 AM

Starwood Hotels & Resorts accepted Anbang Insurance Group’s $13.2 billion takeover offer with the Chinese insurance giant acquiring the hotel owner and operator.

Anbang will pay $78 per share in cash for Starwood, with news of the bid made public just this week. However, Marriott, under the terms of a prior agreement to buy Starwood in November for $12.2 billion, now has five days to respond.

Anbang will also have to pay a hefty fee to Marriott if the bid goes through, CNBC reported.

Marriott plans to make a counter-bid, sources told CNBC.

News of the deal lifted Starwood’s stock to 4.6 percent to $79.90 in pre-market trading, according to CNBC.

Last weekend, Anbang, which owns the Waldorf Astoria, also moved to acquire another marquee U.S. hotel portfolio. The Beijing-based insurer has a deal to buy the 16-property Strategic Hotels & Resorts portfolio from the Blackstone Group for a record $6.5 billion.

The Real Deal looked at what was behind the more than $19 billion play — global ambitions coupled with a slowdown in China. The combined figure roughly represents the total volume of Chinese investment in U.S. commercial real estate from 2007 to 2015. [CNBC]Dusica Sue Malesevic


Related Articles

arrow_forward_ios
Sam Zell (left) and Barry Sternlicht (Photos by Studio Scrivo and Emily Assiran)
Battle of Monmouth: Zell and Sternlicht’s $2B struggle over warehouse REIT
Battle of Monmouth: Zell and Sternlicht’s $2B struggle over warehouse REIT
Wyndham CEO Geoff Ballotti and Marriott CEO Anthony Capuano (Getty, Wyndham, Marriott)
Hotel companies increasingly turning to all-inclusive resorts
Hotel companies increasingly turning to all-inclusive resorts
Renaissance Westchester Hotel entrance (Marriott)
Renaissance Westchester Hotel to shutter West Harrison property
Renaissance Westchester Hotel to shutter West Harrison property
Starwood Property Trust CEO Barry Sternlicht (Getty, iStock)
Washington is “putting kerosene on an open fire” with spending bills: Sternlicht
Washington is “putting kerosene on an open fire” with spending bills: Sternlicht
525 Lexington Avenue and Ben Ashkenazy (Photos via Google Maps, Getty Images)
Court rules Ashkenazy must pay share of $135M Marriott loan
Court rules Ashkenazy must pay share of $135M Marriott loan
Blackstone CEO Stephen Schwarzman and Starwood CEO Barry Sternlicht (Getty)
Here’s an inside look at Extended Stay’s 62K-key portfolio
Here’s an inside look at Extended Stay’s 62K-key portfolio
Starwood CEO Barry Sternlicht and Blackstone CEO Stephen Schwarzman (Getty)
Blackstone, Starwood up bid for Extended Stay America
Blackstone, Starwood up bid for Extended Stay America
Starwood Capital CEO Barry Sternlicht and HFZ Capital chairman Ziel Feldman with the Chatsworth at 344 West 72nd Street and (Getty, Google Maps)
Starwood takes control of 21 units at HFZ’s Chatsworth
Starwood takes control of 21 units at HFZ’s Chatsworth
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...