Joint venture to accelerate resort expansion and broaden vacation offerings across the Caribbean
Miami/Montego Bay: Royal Caribbean Group has agreed to acquire a 50% equity interest in Sandals and Beaches Resorts for approximately US$3 billion, establishing a joint venture that will expand the cruise company’s presence in the all-inclusive resort sector.
The agreement, announced on September 23, 2026, brings together Sandals and Beaches Resorts’ more than four decades of Caribbean hospitality experience with Royal Caribbean Group’s portfolio of cruise, private destination and land-based vacation offerings.
The partnership will include Sandals and Beaches Resorts’ portfolio of all-inclusive properties across the Caribbean. The companies said the venture is intended to accelerate resort expansion while creating opportunities to broaden distribution and deepen guest engagement across their respective vacation portfolios.
Royal Caribbean expands into all-inclusive resorts
The transaction marks a significant expansion of Royal Caribbean Group’s vacation platform beyond cruising. Its portfolio includes Royal Caribbean, Celebrity Cruises and Silversea, alongside private destinations and a planned river cruise offering.
The company said the joint venture will expand its participation in the approximately US$2 trillion global vacation market, while responding to demand for Sandals and Beaches Resorts and providing additional resources for future growth.
The investment is valued at approximately 10 times forward EBITDA, according to the companies. Royal Caribbean Group has secured committed debt financing from Morgan Stanley to fund the transaction. The deal is expected to close in early 2027, subject to customary approvals and other closing conditions.
Leadership and operations to continue
The joint venture will be governed by a board under the shared leadership of Jason Liberty, Chairman and CEO of Royal Caribbean Group, and Adam Stewart, Executive Chairman of Sandals and Beaches Resorts.
Stewart will continue in his leadership role, helping guide the long-term strategic growth of the resort business.
Existing reservations, loyalty programmes, resort operations and cruise operations will continue as usual, with the partnership expected to provide additional resources to support future expansion.
“For nearly 60 years, we have reimagined what a vacation can be, constantly expanding the ways we inspire our customers to explore, connect and create lifelong memories,” said Jason Liberty, Chairman and CEO, Royal Caribbean Group.
Liberty said the partnership represents the next step in developing Royal Caribbean Group’s broader vacation platform and expanding the reach of Sandals and Beaches Resorts.
Sandals to retain leadership role
Adam Stewart, Executive Chairman, Sandals Resorts and Beaches Resorts, said the agreement builds on the vision of his late father, Gordon “Butch” Stewart, who founded Sandals Resorts.
Stewart said the partnership would provide the resort company with the opportunity to accelerate its growth while maintaining its focus on hospitality, its brands, travel advisor partners, employees and the communities in which it operates.
The transaction combines Sandals and Beaches’ all-inclusive resort expertise with Royal Caribbean Group’s cruise and destination portfolio, creating opportunities for the companies to connect their respective vacation offerings.
Broader Caribbean vacation proposition
The partnership is expected to create new opportunities for travellers to combine cruise and land-based holidays, while giving both companies additional channels through which to reach customers.
Royal Caribbean Group currently operates 71 ships sailing to more than 1,000 destinations across all seven continents through Royal Caribbean, Celebrity Cruises and Silversea, and holds a 50% joint venture interest in TUI Cruises. The company is also expanding its private destination portfolio and plans to enter river cruising with Celebrity River Cruises in 2027.
For Sandals and Beaches Resorts, the partnership provides additional investment capacity to support the continued development of its Caribbean resort portfolio.
The transaction remains subject to customary approvals and closing conditions, with completion anticipated in early 2027.
