Nov 16, 2015, 4:19 am
Last edit by: Schutzee
November 16, 2015
Marriott Shareholder News Release :
http://investor.shareholder.com/mar/...leaseID=942791
Starwood Investor News Release :
https://s1.q4cdn.com/483583335/files...wood-FINAL.pdf
Marriott CEO Linkedin Post:
https://www.linkedin.com/pulse/marri...-arne-sorenson
November 16, 2015
November 16, 2015
March 01, 2016
March 14, 2016
Announcement that a consortium including the Chinese company Anbang has made an unsolicited rival bid.
http://www.cnbc.com/2016/03/14/starw...6-a-share.html
March 18, 2016
Starwood determines that the Anbang bid is 'superior' and notifies Marriott of the intention to terminate the merger agreement.
Marriott have until March 28 to make a counter-bid that is as good as or better than Anbang.
Starwood is postponing its stockholder vote, which was scheduled for Monday, March 28th, to a new date to be determined after consultation with Marriott. Starwoods Board has not changed its recommendation in support of Starwoods merger with Marriott.
http://www.cnbc.com/2016/03/18/starw...e-in-cash.html
March 21, 2016
Starwood and Marriott sign a revised merger agreement after Marriott submit an increased bid which values Starwood stock at $85.36. This is now the 'superior' proposal.
Under the revised merger agreement Starwood is not allowed to engage in discussions with Anbang. However, Anbang may make another unsolicited offer, up until the time of the Starwood shareholder vote, which is April 8, 2016.
March 28, 2016
Starwood Hotels & Resorts Worldwide Inc. said it received a higher takeover offer from a group led by Anbang Insurance Group Co., putting the Chinese company back into battle with Marriott International Inc. for control of the hotel operator.
Starwood said its in negotiations with the Anbang group after receiving a nonbinding offer of $82.75 a share in cash, or about $14 billion, according to a statement Monday. That compares with Marriotts stock-and-cash offer valued at $75.91 a share, or about $12.8 billion, based on March 24ths closing price. Marriott, in its own statement Monday, reaffirmed its commitment to buy Starwood, saying its proposal offers stockholders greater long-term value.
Shares of Starwood rose 2.4 percent to $84.06 at 10:29 a.m. New York time. Marriott climbed 4 percent to $71.35.
The new offer from Anbang, which is working with J.C. Flowers & Co. and Primavera Capital, shows the insurer wont easily back down as it seeks to build its hotel holdings. The Beijing-based company last year purchased Manhattans landmark Waldorf Astoria for $1.95 billion, and is in a deal to acquire luxury-property owner Strategic Hotels & Resorts Inc. for about $6.5 billion. Gaining Starwood would add brands such as Sheraton, W and St. Regis, as well as about $4 billion worth of real estate.
Starwood said it received a non-binding bid of $81 a share on March 26 from the Anbang group, which increased its offer after subsequent discussions. Starwood is negotiating terms of a binding proposal and said it will carefully consider the outcome of its discussions with the consortium in order to determine the best course of action for shareholders.
http://www.bloomberg.com/news/articl...er-from-anbang
March 31, 2016
Chinas Anbang Drops Bid for Starwood Hotels
Operator of Sheraton, other hotels seen returning to Marriotts previous takeover offer
http://www.wsj.com/articles/chinas-a...way-1459455942
BETHESDA, Md. and STAMFORD, Conn., Nov. 16, 2015 /PRNewswire/ -- Marriott International, Inc. (NASDAQ: MAR) and Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) announced today that the boards of directors of both companies have unanimously approved a definitive merger agreement under which the companies will create the world's largest hotel company. The transaction combines Starwood's leading lifestyle brands and international footprint with Marriott's strong presence in the luxury and select-service tiers, as well as the convention and resort segment, creating a more comprehensive portfolio. The merged company will offer broader choice for guests, greater opportunities for associates and should unlock additional value for Marriott and Starwood shareholders. Combined, the companies operate or franchise more than 5,500 hotels with 1.1 million rooms worldwide. The combined company's pro forma fee revenue for the 12 months ended September 30, 2015 totals over $2.7 billion.
http://investor.shareholder.com/mar/...leaseID=942791
Starwood Investor News Release :
https://s1.q4cdn.com/483583335/files...wood-FINAL.pdf
Marriott CEO Linkedin Post:
https://www.linkedin.com/pulse/marri...-arne-sorenson
November 16, 2015
Originally Posted by Official Starwood Announcement on the SPG website
Were excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the worlds largest hotel company. For our Starwood Preferred Guest (SPG) members, this will mean even more choices in even more places, giving you access to 1.1 million rooms across 5,500 hotels and resorts in more than 100 countries.
We will work to bring you the very best of SPG and Marriott Rewards, two of the most rewarding loyalty programs in our industry. Our members are at the core of everything we do, and that will not change.
This is the beginning of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your SPG program status, your Starpoints or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, as well as bonus Starpoints for any promotions in which you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, well be sure to reach out to you by email, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need us whether in our hotels, at spg.com, on the SPG mobile app or via our Customer Contact Centers.
Thank you for sharing your travels with us.
Chris Holdren
Senior Vice President, Starwood Preferred Guest
We will work to bring you the very best of SPG and Marriott Rewards, two of the most rewarding loyalty programs in our industry. Our members are at the core of everything we do, and that will not change.
This is the beginning of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your SPG program status, your Starpoints or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, as well as bonus Starpoints for any promotions in which you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, well be sure to reach out to you by email, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need us whether in our hotels, at spg.com, on the SPG mobile app or via our Customer Contact Centers.
Thank you for sharing your travels with us.
Chris Holdren
Senior Vice President, Starwood Preferred Guest
Originally Posted by Official Starwood Announcement to FT members
Dear members,
Starwood Hotels & Resorts and Marriott International to Merge, Creating the Worlds Largest Hotel Company, Best Loyalty Program
Today were excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the worlds largest hotel company. For our SPG members, this will mean even more choices in even more places, giving you access to 1.1 million rooms across 5,500 hotels in more than 100 countries.
As we look to bring together the very best of Starwood Preferred Guest and Marriott Rewards, we are confident that together we will create the most rewarding loyalty program in our industry. Our members are at the core of everything we do, and that will not change.
Today is the first day of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your Starwood Preferred Guest (SPG) program status, your Starpoints or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, and bonus Starpoints for any promotions in which are you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, youll continue to be among the first to hear by e-mail, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need uswhether in our hotels, at spg.com, the SPG mobile app, or via our Customer Contact Centers.
[email protected]
Thyetus Lee | Social Media Specialist
Starwood Customer Contact Centre (AP) Pte Ltd
Starwood Hotels & Resorts and Marriott International to Merge, Creating the Worlds Largest Hotel Company, Best Loyalty Program
Today were excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the worlds largest hotel company. For our SPG members, this will mean even more choices in even more places, giving you access to 1.1 million rooms across 5,500 hotels in more than 100 countries.
As we look to bring together the very best of Starwood Preferred Guest and Marriott Rewards, we are confident that together we will create the most rewarding loyalty program in our industry. Our members are at the core of everything we do, and that will not change.
Today is the first day of a long journey as we combine our two companies. For now, we remain separate, and there is no change to your Starwood Preferred Guest (SPG) program status, your Starpoints or your existing reservations. You will continue to earn Starpoints and elite stay/night credit for your stays, and bonus Starpoints for any promotions in which are you are participating. There is no change to how you manage your SPG account or book reservations.
Over the coming months, as we have more to share, youll continue to be among the first to hear by e-mail, at spg.com and via twitter (@spg). In the meantime, we remain at your service wherever you need uswhether in our hotels, at spg.com, the SPG mobile app, or via our Customer Contact Centers.
[email protected]
Thyetus Lee | Social Media Specialist
Starwood Customer Contact Centre (AP) Pte Ltd
The U.S. Department of Justice and the U.S. Federal Trade Commission will not challenge the proposed merger between Marriott International and Starwood Hotels & Resorts. The waiting period for Marriott's filing with the FTC under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, the merger's first regulatory hurdle, expired on Monday, meaning the deal is cleared to proceed. The Competition Bureau of Canada also will not challenge the transaction. According to Marriott, the companies are cooperating with competition authorities in other parts of the world to obtain approval of the deal. Marriott and Starwood will hold separate stockholder meetings on March 28 to vote on the merger.
http://investor.shareholder.com/MAR/...leaseID=958056
http://investor.shareholder.com/MAR/...leaseID=958056
Announcement that a consortium including the Chinese company Anbang has made an unsolicited rival bid.
http://www.cnbc.com/2016/03/14/starw...6-a-share.html
March 18, 2016
Starwood determines that the Anbang bid is 'superior' and notifies Marriott of the intention to terminate the merger agreement.
Marriott have until March 28 to make a counter-bid that is as good as or better than Anbang.
Starwood is postponing its stockholder vote, which was scheduled for Monday, March 28th, to a new date to be determined after consultation with Marriott. Starwoods Board has not changed its recommendation in support of Starwoods merger with Marriott.
http://www.cnbc.com/2016/03/18/starw...e-in-cash.html
March 21, 2016
Starwood and Marriott sign a revised merger agreement after Marriott submit an increased bid which values Starwood stock at $85.36. This is now the 'superior' proposal.
Under the revised merger agreement Starwood is not allowed to engage in discussions with Anbang. However, Anbang may make another unsolicited offer, up until the time of the Starwood shareholder vote, which is April 8, 2016.
March 28, 2016
Starwood Hotels & Resorts Worldwide Inc. said it received a higher takeover offer from a group led by Anbang Insurance Group Co., putting the Chinese company back into battle with Marriott International Inc. for control of the hotel operator.
Starwood said its in negotiations with the Anbang group after receiving a nonbinding offer of $82.75 a share in cash, or about $14 billion, according to a statement Monday. That compares with Marriotts stock-and-cash offer valued at $75.91 a share, or about $12.8 billion, based on March 24ths closing price. Marriott, in its own statement Monday, reaffirmed its commitment to buy Starwood, saying its proposal offers stockholders greater long-term value.
Shares of Starwood rose 2.4 percent to $84.06 at 10:29 a.m. New York time. Marriott climbed 4 percent to $71.35.
The new offer from Anbang, which is working with J.C. Flowers & Co. and Primavera Capital, shows the insurer wont easily back down as it seeks to build its hotel holdings. The Beijing-based company last year purchased Manhattans landmark Waldorf Astoria for $1.95 billion, and is in a deal to acquire luxury-property owner Strategic Hotels & Resorts Inc. for about $6.5 billion. Gaining Starwood would add brands such as Sheraton, W and St. Regis, as well as about $4 billion worth of real estate.
Starwood said it received a non-binding bid of $81 a share on March 26 from the Anbang group, which increased its offer after subsequent discussions. Starwood is negotiating terms of a binding proposal and said it will carefully consider the outcome of its discussions with the consortium in order to determine the best course of action for shareholders.
http://www.bloomberg.com/news/articl...er-from-anbang
March 31, 2016
Chinas Anbang Drops Bid for Starwood Hotels
Operator of Sheraton, other hotels seen returning to Marriotts previous takeover offer
http://www.wsj.com/articles/chinas-a...way-1459455942
Starwood: "Marriott and Starwood stockholders approve merger"
Jan 10, 2016, 3:10 pm
#1651
Join Date: Jun 2008
Location: SFO
Programs: AA LTP 2MM, Marriott/SPG Rabid Plat w/Ambassador, HHonors Gold
Posts: 696
Unfortunately, it's not as simple as just looking at Marriott's balance sheet to calculate the total based on the total liability, since we don't know what statistical formula Marriott uses to calculate breakage (points that are not included in the liability, because their statistical model predicts that they will never be redeemed), and that information is not in the 10-K.
I can say that Marriott would definitely lose my business at a 1:2 ratio. With >150 nights a year, I could maintain top-tier status at both Hilton and Hyatt, although in the past few years I've generally given almost all of it to Starwood.
The only question would be what to do with all my points. If Marriott doesn't care about keeping Starwood customers happy, and tries to pull that kind of crap (which wouldn't surprise me, but I'm not going to make any decisions until I hear their offer), I'd probably try to figure out what form of redemption would cost Marriott/Starwood the most money and redeem them that way (and I have a good chunk of points, as I rarely have a chance to redeem them). If they don't care about me, I'm not to care about them. I'll caveat that by saying that Starwood has been very good to me, so until this all is finalized, I will give them the benefit of the doubt.
Does anybody have any idea what the relative cost to the hotels of different SPG redemption options are?
Jan 10, 2016, 7:55 pm
#1652
Join Date: Dec 2007
Location: SYD
Programs: UA GS, BA Gold, Marriott Titanium/LT Plat, IHG Gold, National Exec Elite, Hertz PC
Posts: 1,419
UA 1K/platinum = SPG platinum after merge?
Assuming the UA/Marriott partnership remains unchanged, I'm wondering if there is any point in crediting more nights to the new Marriott. I spend about 60 nights/year to maintain SPG platinum and have been enjoying the benefits so far.
I'm assuming the status levels remain about the same. 60 nights with the current Marriott would only give me Marriott Elite Gold status, which I already get "for free" as a UA 1K. There would be little incentive status wise, maybe LT, but not much else. I'd miss out on the current SNAs, although it's unclear if they stay around after the merger.
On the other hand, if I switched to Hyatt, 50+ nights would give me Hyatt Diamond status. I'd end up on the 50+ night/year status level with both Hyatt and the new Marriott.
I'm assuming the status levels remain about the same. 60 nights with the current Marriott would only give me Marriott Elite Gold status, which I already get "for free" as a UA 1K. There would be little incentive status wise, maybe LT, but not much else. I'd miss out on the current SNAs, although it's unclear if they stay around after the merger.
On the other hand, if I switched to Hyatt, 50+ nights would give me Hyatt Diamond status. I'd end up on the 50+ night/year status level with both Hyatt and the new Marriott.
Jan 10, 2016, 8:28 pm
#1653
Suspended
Join Date: Oct 2003
Location: New York, NY
Programs: Delta - Gold; Starwood - Platinum; HHonors - Diamond & Avis Preferred
Posts: 10,869
Assuming the UA/Marriott partnership remains unchanged, I'm wondering if there is any point in crediting more nights to the new Marriott. I spend about 60 nights/year to maintain SPG platinum and have been enjoying the benefits so far.
I'm assuming the status levels remain about the same. 60 nights with the current Marriott would only give me Marriott Elite Gold status, which I already get "for free" as a UA 1K. There would be little incentive status wise, maybe LT, but not much else. I'd miss out on the current SNAs, although it's unclear if they stay around after the merger.
On the other hand, if I switched to Hyatt, 50+ nights would give me Hyatt Diamond status. I'd end up on the 50+ night/year status level with both Hyatt and the new Marriott.
I'm assuming the status levels remain about the same. 60 nights with the current Marriott would only give me Marriott Elite Gold status, which I already get "for free" as a UA 1K. There would be little incentive status wise, maybe LT, but not much else. I'd miss out on the current SNAs, although it's unclear if they stay around after the merger.
On the other hand, if I switched to Hyatt, 50+ nights would give me Hyatt Diamond status. I'd end up on the 50+ night/year status level with both Hyatt and the new Marriott.
Jan 10, 2016, 8:34 pm
#1654
Join Date: Dec 2007
Location: SYD
Programs: UA GS, BA Gold, Marriott Titanium/LT Plat, IHG Gold, National Exec Elite, Hertz PC
Posts: 1,419
Jan 10, 2016, 8:53 pm
#1655
Join Date: Jan 2009
Location: Everywhere
Programs: AA EXP - 3.7MM, Bonv LIFETIME Titan, HH Dmd, Hyatt Glob., Priority Clb Dmd, Ntnl Exec El., Sixt PLT
Posts: 1,691
... I'm wondering if there is any point in crediting more nights to the new Marriott. I spend about 60 nights/year to maintain SPG platinum and have been enjoying the benefits so far.
I'm assuming the status levels remain about the same. 60 nights with the current Marriott would only give me Marriott Elite Gold status, ...
On the other hand, if I switched to Hyatt, 50+ nights would give me Hyatt Diamond status. I'd end up on the 50+ night/year status level with both Hyatt and the new Marriott.
I'm assuming the status levels remain about the same. 60 nights with the current Marriott would only give me Marriott Elite Gold status, ...
On the other hand, if I switched to Hyatt, 50+ nights would give me Hyatt Diamond status. I'd end up on the 50+ night/year status level with both Hyatt and the new Marriott.
Jan 11, 2016, 1:05 am
#1656
Join Date: Dec 2004
Location: The City of Angels
Programs: UA Gold, Hyatt Globalist, Marriott LTP, Hilton Gold
Posts: 406
Not an SEC filing or inside information but more than a guess. The ARV's listed for Marriott and Starwood points from all recent games and contests as already mentioned are a big clue. There is other anecdotal evidence listed in these forums, even including this thread, among other sources.
Actually it is. There is a fixed value that Marriott assigns their points, and it would take into account points that are not redeemed, among many other factors. We don't know the formula Marriott uses to determine this value, but there is enough evidence to know that the end result is 1.25 cents per point.
I do absolutely agree that 1.25 cents is ridiculously optimistic for a Marriott point. From my admittedly unscientific perspective, it seems a heck of a lot easier to get 2.5 cents per point from an average Starpoint redemption than 1.25 cents per point from an average Marriott redemption.
Why? What if Marriott, sensing they are going to piss off a huge chunk of Starwood loyalists with the 2:1 conversion, drastically alters the redemption burn rate. What if your favorite SPG hotel redemptions only cost 1.5 times the current cost in the new loyalty program (e.g. a current category 6 only costs 30,000 Marriott points after the merger)? It would seem to me it would be wise to see what the entire program will look like before making a decision to stay or go.
I'm not sure I understand the question, but it's actually Starwood that reimburses the individual property when members redeem points. When occupancy is below 95% (if I remember correctly), the hotel is reimbursed a very low amount. When points are redeemed when occupancy is above 95%, the hotels are reimbursed close to their ADR. The latter situation would obviously cost Starwood more.
Then again, if Starwood has been good to you, as it has for me, I'm not sure I understand the need to try to find the most costly redemptions. I'll continue to focus on the redemptions that offer me a good value, basically around 2.5 cents per point, in places I want to go when I want to visit. In my case, I hardly ever have more than a year or so worth of points in my account at any one time anyways. Whenever the conversion does eventually occur, my best guess being between one to two years from now, it will likely be pretty easy for me to have a near zero balance, making the conversion ratio basically a nonissue for me.
Unfortunately, it's not as simple as just looking at Marriott's balance sheet to calculate the total based on the total liability, since we don't know what statistical formula Marriott uses to calculate breakage (points that are not included in the liability, because their statistical model predicts that they will never be redeemed).
I do absolutely agree that 1.25 cents is ridiculously optimistic for a Marriott point. From my admittedly unscientific perspective, it seems a heck of a lot easier to get 2.5 cents per point from an average Starpoint redemption than 1.25 cents per point from an average Marriott redemption.
Why? What if Marriott, sensing they are going to piss off a huge chunk of Starwood loyalists with the 2:1 conversion, drastically alters the redemption burn rate. What if your favorite SPG hotel redemptions only cost 1.5 times the current cost in the new loyalty program (e.g. a current category 6 only costs 30,000 Marriott points after the merger)? It would seem to me it would be wise to see what the entire program will look like before making a decision to stay or go.
If Marriott doesn't care about keeping Starwood customers happy, and tries to pull that kind of crap (which wouldn't surprise me, but I'm not going to make any decisions until I hear their offer), I'd probably try to figure out what form of redemption would cost Marriott/Starwood the most money and redeem them that way (and I have a good chunk of points, as I rarely have a chance to redeem them). If they don't care about me, I'm not to care about them. I'll caveat that by saying that Starwood has been very good to me, so until this all is finalized, I will give them the benefit of the doubt.
Does anybody have any idea what the relative cost to the hotels of different SPG redemption options are?
Does anybody have any idea what the relative cost to the hotels of different SPG redemption options are?
Then again, if Starwood has been good to you, as it has for me, I'm not sure I understand the need to try to find the most costly redemptions. I'll continue to focus on the redemptions that offer me a good value, basically around 2.5 cents per point, in places I want to go when I want to visit. In my case, I hardly ever have more than a year or so worth of points in my account at any one time anyways. Whenever the conversion does eventually occur, my best guess being between one to two years from now, it will likely be pretty easy for me to have a near zero balance, making the conversion ratio basically a nonissue for me.
Jan 11, 2016, 6:45 am
#1657
Suspended
Join Date: Oct 2003
Location: New York, NY
Programs: Delta - Gold; Starwood - Platinum; HHonors - Diamond & Avis Preferred
Posts: 10,869
Jan 11, 2016, 2:19 pm
#1658
Join Date: Apr 2015
Location: BOS
Programs: Delta DM, SPG PLT100, Marriott Gold
Posts: 346
I have Hilton Diamond because of a specific project on which I had to stay at the same Hilton hotel for well over 100 nights one year, but I've also had a decent number of stays at other Hilton properties over the past few years. In my experience, I've found that HHonors and Marriott Rewards are fairly similar in terms of perks (so much worse than SPG and Hyatt, in other words), but I've had slightly better customer service from Marriott (particularly at a couple of the Ritz Carltons -- best hotel service I've encountered). The primary strength of both chains is that there are a lot of them, but even if Marriott guts the SPG reward program after the merger, I will still keep that new Marriott chain as my wide-footprint backup plan while moving all of the business that I can to Hyatt.
Jan 11, 2016, 2:41 pm
#1659
Join Date: Oct 2006
Location: New York, NY
Programs: UA - 1K 1MM; Hyatt - Explorist; Marriott - Lifetime Titanium
Posts: 1,586
Jan 11, 2016, 5:04 pm
#1660
Suspended
Join Date: Oct 2003
Location: New York, NY
Programs: Delta - Gold; Starwood - Platinum; HHonors - Diamond & Avis Preferred
Posts: 10,869
Jan 12, 2016, 2:55 pm
#1661
Join Date: Aug 2009
Location: MCO/FLL
Programs: AA-gold(MM); Marriott-Lifetime Titanium Elite; Hilton-Gold;
Posts: 503
Does anyone have any idea of when the two hotel programs will roll into one?
Jan 12, 2016, 3:00 pm
#1662
Suspended
Join Date: Oct 2003
Location: New York, NY
Programs: Delta - Gold; Starwood - Platinum; HHonors - Diamond & Avis Preferred
Posts: 10,869
Jan 12, 2016, 3:07 pm
#1663
Moderator, Marriott Bonvoy & FlyerTalk Evangelist
Join Date: Oct 2002
Location: McKinney, TX, USA
Programs: United Silver; AA Plat/2MM; Marriott LT Titanium; Hilton Gold
Posts: 11,730
We may, if everything about the merger runs very smoothly and quickly, hear something before the end of this year (2016). Otherwise, they won't make any real announcements until sometime in 2017.
Jan 12, 2016, 3:39 pm
#1664
Join Date: Aug 2011
Programs: Marriott Bonvoy Ambassador
Posts: 598
After reading the S-4, it seems like Hyatt, Marriott, and IHG were the final 3 contenders. Oh how I wish Hyatt had the winning bid!
Jan 12, 2016, 6:31 pm
#1665
FlyerTalk Evangelist
Join Date: Apr 2008
Location: LGA/JFK/EWR
Programs: UA 1K1.75MM, Hyatt Globalist, abandoned Marriott LTT (RIP SPG), Hertz PC
Posts: 21,177