by Eric Bowman
Last updated: 3:15 AM ET, Wed September 23, 2026
Cruise giant Royal Caribbean Group and land-based luxury operator Sandals Resorts have entered into a definitive agreement to form a joint venture, marking one of the most significant cross-category deals in modern travel industry history.
Under the terms of the deal announced Wednesday, Royal Caribbean Group will acquire a 50% equity stake in Sandals Resorts International, including both the adult-focused Sandals Resorts and family-centric Beaches Resorts portfolios, for approximately $3 billion, representing a forward EBITDA multiple of approximately 10x.
"For nearly 60 years, we've reimagined what a vacation can be, constantly expanding the ways we inspire our guests to explore, connect and create lifelong memories,” said Jason Liberty, Chairman and CEO, Royal Caribbean Group. “We have been building a vacation platform that brings joy to millions of people around the world and creates meaningful relationships that last with our guests. Our partnership with Sandals and Beaches Resorts is an important next step on that journey - bringing together two iconic leading vacation companies to further strengthen and grow one of the most admired resort portfolios in the world. The Stewart family has created powerful and beloved brands, and we are honored to build on that legacy. Together, we see tremendous opportunity to expand the reach of Sandals and Beaches Resorts and continue turning the vacation of a lifetime into a lifetime of vacations."
The deal directly expands Royal Caribbean Group into the adjacent $2 trillion global land-based resort market and is expected to close in early 2027.
“My father, Gordon ‘Butch’ Stewart, founded Sandals Resorts with the belief that a company built in the Caribbean could stand on the world stage alongside the most respected names in hospitality. Today is proof of how far that vision can go,” said Adam Stewart, Executive Chairman of Sandals Resorts and Beaches Resorts. “This partnership is the natural next step in building on that conviction. It gives us the ability to grow faster with a partner that shares our values of exceptional hospitality, long-term investment, and the power of enduring brands. Together, we will introduce more guests to Sandals and Beaches Resorts while creating even more extraordinary experiences for those who have made our resorts part of their lives for decades.” Stewart added, “As we continue to grow, we will remain true to what has always defined us: delivering authentic vacations that exceed expectations while creating opportunities for our team members, travel advisor partners and the communities we call home. The future has never been brighter, and I know this moment would make my father incredibly proud.”
Liberty and Stewart will manage the joint venture, where Stewart will maintain a leadership role in guiding the company’s long-term strategic growth as Executive Chairman of Sandals and Beaches Resorts.
The partnership pairs together two of the travel industry’s most prominent powerhouses. Royal Caribbean Group currently operates global cruise lines Royal Caribbean International, Celebrity Cruises, and Silversea, alongside a growing network of private island destinations. Sandals and Beaches Resorts bring a 40-plus-year track record as premier all-inclusive resort operators across the Caribbean, with resorts in Jamaica, Antigua, Saint Lucia, The Bahamas, Grenada, Barbados, Curaçao, and Saint Vincent and the Grenadines.
While both brands will continue day-to-day operations independently, with current reservations, resort functions, and cruise operations unaffected, the joint venture opens the door for deep cross-distribution and guest engagement opportunities.
The companies plan to explore joint marketing, streamlined cross-brand booking flows, and potential integrations across their loyalty platforms. Recently, Royal Caribbean had to alter its plans for Perfect Day Mexico amid a big Q2. Meanwhile, Sandals is pouring $200 million into renovating and fixing up three Jamaica resorts following last year's devastating hurricane.
The deal has drawn heavy participation from top-tier Wall Street advisory firms as well. BofA Securities and PJT Partners served as financial advisors to Sandals Group, with Latham & Watkins and Jones Day handling legal counsel. Perella Weinberg Partners and Morgan Stanley served as financial advisors to Royal Caribbean Group, with Kirkland & Ellis LLP serving as legal advisor.
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