Starwood accepts Anbang’s $13.2B takeover offer

Chinese insurance giant outbid rival Marriott to acquire hotel operator

TRD LOS ANGELES /
Mar.March 18, 2016 10:00 AM

From the New York site: 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
Lyric founders Andrew Kitchell and Joe Fraiman and a Lyric-managed unit in Houston

Startups and hospitality giants are embracing “apartment hotels”

Dual-branded hotel going up and up near SpaceX

Dual-branded hotel going up and up near SpaceX

Welcome to the neighborhood: Blackstone, Starwood merger to create nation’s biggest single-family landlord

Welcome to the neighborhood: Blackstone, Starwood merger to create nation’s biggest single-family landlord

Trump’s travel ban is hurting hotels: Marriott CEO

Trump’s travel ban is hurting hotels: Marriott CEO

China Life takes $2B stake in Starwood Capital’s US hotels

China Life takes $2B stake in Starwood Capital’s US hotels

Placeholder image

Anbang closes on acquisition of Essex House, 14 Strategic properties

Marriott, Starwood merger on hold pending Chinese review

Marriott, Starwood merger on hold pending Chinese review

Starwood shopping Woodland Hills office complex for up to $190M

Starwood shopping Woodland Hills office complex for up to $190M

arrow_forward_ios