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. Starwood’s Board has not changed its recommendation in support of Starwood’s 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 it’s 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 Marriott’s stock-and-cash offer valued at $75.91 a share, or about $12.8 billion, based on March 24th’s 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 won’t easily back down as it seeks to build its hotel holdings. The Beijing-based company last year purchased Manhattan’s 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
China’s Anbang Drops Bid for Starwood Hotels
Operator of Sheraton, other hotels seen returning to Marriott’s 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
We’re excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the world’s 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, we’ll 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, we’ll 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 World’s Largest Hotel Company, Best Loyalty Program
Today we’re excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the world’s 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, you’ll 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 us—whether 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 World’s Largest Hotel Company, Best Loyalty Program
Today we’re excited to share the news that Starwood Hotels & Resorts will join together with Marriott International to create the world’s 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, you’ll 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 us—whether 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. Starwood’s Board has not changed its recommendation in support of Starwood’s 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 it’s 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 Marriott’s stock-and-cash offer valued at $75.91 a share, or about $12.8 billion, based on March 24th’s 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 won’t easily back down as it seeks to build its hotel holdings. The Beijing-based company last year purchased Manhattan’s 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
China’s Anbang Drops Bid for Starwood Hotels
Operator of Sheraton, other hotels seen returning to Marriott’s previous takeover offer
http://www.wsj.com/articles/chinas-a...way-1459455942
Starwood: "Marriott and Starwood stockholders approve merger"
Mar 17, 2016, 10:20 pm
#2191
Join Date: Jun 2008
Location: SFO
Programs: AA LTP 2MM, Marriott/SPG Rabid Plat w/Ambassador, HHonors Gold
Posts: 696
OK, I posted a concrete example with real numbers, and you posted what again? How hard is this to understand? How do you not comprehend 400% profit? How much do I need to dumb this down? And yes I am answering juvenile insults with condescension. If you don't like it try posting something intelligent and real. Anyone can look up what I posted about Youtube. Are you saying that wasn't real? Did that not happen? Or are you going to try and argue that is the only time in history that an all stock deal worked?
Most large company acquisitions are good deal for those who get out, a great deal for the investment bankers and attorneys, and a crappy deal for the remaining shareholders and customers. Smaller deals are much more likely to result in decent synergies and ROIs (which makes sense because they cost less). But since investment bankers typically get a percentage of the deal size, the industry is incentivized to push for bigger and bigger deals.
Perhaps most importantly, using deals done during the dot com boom as an example of excellence is probably the worst model ever. The vast overvaluing of stock during this timeframe and inflation of deals led to beautifully horrific crashes during the following bust. Which is what happens when you have tons of overvalued stock. Surely, no one is suggesting that MAR should be valued like the crazy valuations of companies in 1999 and 2000.
Concrete examples? For every Google/YouTube, you have scores of AOL/Time Warner, Yahoo/Broadcast.com, Yahoo/GeoCities (really, most Yahoo acquisitions at the time), AOL/Netscape, JDS Uniphase/SDL, Terra Networks/Lycos, Excite/@Home.. I could go on, but I have to stop before I hurt myself laughing. These were multibillion-dollar acquisitions. Some were cash, but a lot were stock deals. With the exception of the Google example, would anyone today really prefer to have gotten stock in any of those companies over billions in cash?
I expect Starwood's board to do the right thing and take the higher cash bid. They probably know that if they don't, they will likely be the subject of a shareholder lawsuit for breach of fiduciary duty.
Last edited by r415; Mar 17, 2016 at 10:26 pm
Mar 17, 2016, 11:54 pm
#2192
FlyerTalk Evangelist
Join Date: Feb 1999
Location: Seat 1A, Juice pretty much everywhere, Mucci des Coins Exotiques
Posts: 34,339
Mar 17, 2016, 11:58 pm
#2193
FlyerTalk Evangelist
Join Date: Feb 1999
Location: Seat 1A, Juice pretty much everywhere, Mucci des Coins Exotiques
Posts: 34,339
Google was a fast-growing tech company expected to keep growing at a pretty brisk clip. MAR is in a much lower growth industry and, let's be honest, isn't going to realize that much value from so-called "synergies" in an acquisition. In fact, given the state of the global economy, there's a reasonable chance MAR's stock price may actually go down in the future.
As for the global economy, it is cyclical. Marriott obviously believes they will do very well in the long term future if they are able to exert more control over the market.
Mar 18, 2016, 12:36 am
#2194
Join Date: Apr 2004
Location: Belgrade, Serbia
Programs: Etihad Guest
Posts: 1,549
1) Marriott's existing contracts with their own franchisees prevent them from being required to provide late checkout, upgrades, etc
2) The same contracts assure their existing properties that they will not open similar properties within a defined distance.
I suspect that the "synergies" were only possible by making Westin, Sheraton and Le Meridien like Marriott and St Regis like Ritz-Carlton. At which point Starwood is essentially worthless as an acquisition.
I think that Marriott senior management think that they have a better way of doing business. And at a Four Points and arguably Sheraton market point, they might be right. But in the higher yielding niches where they fail, they would also make Starwood fail.
Mar 18, 2016, 6:30 am
#2195
Join Date: Aug 2010
Programs: MR LT Titanium, SPG LT Plat & Plat 100, SWA A+ & CP
Posts: 1,093
Back Up...
I've just read about 100 posts and still am not quite sure what the status of the "merger" is and that the Chinese offer is still floating around. It sounds like a binder expires at midnight and if SPG does not react, they owe $$$. It also sounds like the Chinese firm is still in the mix.
I'm just looking for (it someone is willing) for a straight-forward explanation of where we stand and what could happen going forward. If not, that's cool.
I'm just looking for (it someone is willing) for a straight-forward explanation of where we stand and what could happen going forward. If not, that's cool.
Mar 18, 2016, 6:32 am
#2196
Suspended
Join Date: Dec 2014
Posts: 8,460
Starwood closes deal with Anbang at $78 per share in cash.
Please change title of thread and remove Marriott.
Please change title of thread and remove Marriott.
Mar 18, 2016, 6:34 am
#2197
Original Poster
Join Date: Jan 2013
Location: London
Programs: BA Gold / OnBusiness, SPG Lifetime Plat 100, AmEx Centurion & BAPP, Superking Westin Heavenly Bed :)
Posts: 1,142
Here we go...
*STARWOOD SAID TO REACH ANBANG DEAL FOR $78/SHR: CNBC'S FABER
*MARRIOTT EXPECTED TO COUNTER BID FOR STARWOOD: CNBC
*STARWOOD SAID TO REACH ANBANG DEAL FOR $78/SHR: CNBC'S FABER
*MARRIOTT EXPECTED TO COUNTER BID FOR STARWOOD: CNBC
Mar 18, 2016, 6:35 am
#2198
Join Date: Apr 1999
Location: Homosassa, FL & Ringwood, NJ -UA-G(Lifetime); SPG-Plat (Lifetime)
Posts: 6,120
David Favor on CNBC says that Starwood has agreed to an Anbang offer of 78/share.
There is a god!
There is a god!
Mar 18, 2016, 6:37 am
#2200
Original Poster
Join Date: Jan 2013
Location: London
Programs: BA Gold / OnBusiness, SPG Lifetime Plat 100, AmEx Centurion & BAPP, Superking Westin Heavenly Bed :)
Posts: 1,142
All cash deal, and already fully-financed. Up to $78 from $76. MAR is expected to counter-bid for HOT, and has five days to do-so under their current agreement.
Mar 18, 2016, 6:40 am
#2202
Original Poster
Join Date: Jan 2013
Location: London
Programs: BA Gold / OnBusiness, SPG Lifetime Plat 100, AmEx Centurion & BAPP, Superking Westin Heavenly Bed :)
Posts: 1,142
Just to add that stock is trading a shade under $80 in pre-market (79.60 / 79.67), so a MAR counter seems to be priced in.
EDIT: Already over $80, even on the bid.
EDIT: Already over $80, even on the bid.
Mar 18, 2016, 6:41 am
#2203
Join Date: Feb 2012
Location: GVA
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Posts: 1,778
WOOOOOOOHOOOOOOOOOOOOOO!!! LT Plat, here I come!!!
Mar 18, 2016, 6:43 am
#2204
Original Poster
Join Date: Jan 2013
Location: London
Programs: BA Gold / OnBusiness, SPG Lifetime Plat 100, AmEx Centurion & BAPP, Superking Westin Heavenly Bed :)
Posts: 1,142
Here's the official word:
*STARWOOD DETERMINES PROPOSAL FROM ANBANG GROUP SUPERIOR
*STARWOOD STOCKHOLDER MEETING POSTPONED
*STARWOOD HOTELS NOTIFIES MARRIOTT INTENTION TO END MERGER PACT
*STARWOOD SAYS MARRIOTT HAS UNTIL MARCH 28 TO COUNTERPROPOSE
*STARWOOD: ANBANG OFFER/ILG SPINOFF CURRENT VALUE $83.67/SHR
(Meaning it's no longer just CNBC speculation any more). Also to add that this revised offer from Anbang is BINDING, meaning firm (unlike the original offer).
Press release at http://www.businesswire.com/news/hom...0318005441/en/
*STARWOOD DETERMINES PROPOSAL FROM ANBANG GROUP SUPERIOR
*STARWOOD STOCKHOLDER MEETING POSTPONED
*STARWOOD HOTELS NOTIFIES MARRIOTT INTENTION TO END MERGER PACT
*STARWOOD SAYS MARRIOTT HAS UNTIL MARCH 28 TO COUNTERPROPOSE
*STARWOOD: ANBANG OFFER/ILG SPINOFF CURRENT VALUE $83.67/SHR
(Meaning it's no longer just CNBC speculation any more). Also to add that this revised offer from Anbang is BINDING, meaning firm (unlike the original offer).
Press release at http://www.businesswire.com/news/hom...0318005441/en/
Mar 18, 2016, 6:44 am
#2205
Join Date: Dec 2001
Location: Coconut Creek, FL
Programs: AA Lifetime Platinum-2 MM Starwood Plat,Delta DM
Posts: 975
This is pretty good news I think for SPG customers like myself. Again speculation, however much better than Marriott getting the company. Marriott was a low ball offer anyway. They were getting a pretty good deal. This keeps competition between the companies which is good for consumers as well overall. There is a chance Anbag could sell in the future as well, but I think they may be in for the long haul. And Anbag will be looking at buying additional hotels, especially luxury properties.