Hyatt to Acquire Playa Hotels & Resorts for $2.6B
Leading hotel operator Hyatt Hotels (H) has announced its intent to acquire Playa Hotels & Resorts (PLYA) for approximately $2.6 billion, including debt net of cash. The move strategically aligns with Hyatt's expansion plans in Mexico and the Caribbean.
Details of the Transaction
* Purchase price of $2.6 billion, including debt
* Hyatt currently holds 9.4% of Playa's outstanding shares
* Transaction expected to close later in 2023
Market Reaction
* PNYA shares surged in pre-market trading following the announcement
* Hyatt shares remained largely unchanged
Playa Hotels & Resorts
Playa Hotels & Resorts operates resorts in key tourist destinations, including:
* Mexico
* Dominican Republic
* Jamaica
Hyatt's Growth Strategy
The acquisition of Playa Hotels & Resorts will significantly enhance Hyatt's presence in high-demand travel destinations. Hyatt, already a global leader in hospitality, aims to further expand its footprint and capture market share in these growing regions.
Reporting
The announcement was reported by Aishwarya Jain for Reuters in Bengaluru.