One of the travel industry’s most anticipated cross-sector partnerships was officially announced this week, as global cruise giant Royal Caribbean Group has struck a landmark deal to acquire a 50% ownership stake in iconic Caribbean-born hospitality brands Sandals Resorts and Beaches Resorts for an investment of roughly $3 billion. The agreement, unveiled in an official joint statement released Wednesday, will establish an equal 50-50 joint venture between the two players, bringing together Royal Caribbean’s global vacation industry clout and Sandals’ decades-long legacy as a leading Caribbean resort operator.
Founded in 1981 by legendary Jamaican entrepreneur Gordon “Butch” Stewart, who passed away in 2021, Sandals Resorts has grown from a small Caribbean startup into one of the most recognized all-inclusive hospitality brands in the region. Today, the company is helmed by Stewart’s son, Adam Stewart, who serves as executive chairman of Sandals and Beaches Resorts. In the wake of the announcement, Adam Stewart moved quickly to reassure stakeholders that the partnership will not alter the brand’s core Caribbean identity. In a social media post, he emphasized: “Sandals will remain Sandals. Beaches will remain Beaches. Our home is the Caribbean.”
Stewart added that the collaboration will retain the company’s existing team of employees, network of independent travel advisers, and signature hospitality philosophy at the core of operations, while unlocking new resources to accelerate international growth. Echoing his father’s founding vision, Stewart noted that the elder Stewart launched Sandals with the belief that a Caribbean-founded company could compete alongside the most respected global hospitality brands on the world stage. “Today is proof of how far that vision can go,” he said in the official statement. “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.”
For Royal Caribbean Group, the joint venture marks a key milestone in the company’s long-term strategy to expand beyond its core cruise business and build a comprehensive, multi-experience global vacation platform. Jason Liberty, chairman and chief executive officer of Royal Caribbean Group, called the Sandals partnership “an important next step” in that ongoing expansion effort.
Under the terms of the agreement, the new joint venture will be overseen by a shared governing structure, with both Liberty and Stewart serving as co-chairmen of the venture’s board of directors. The transaction is targeted to close in early 2027, and remains subject to standard closing conditions as well as required regulatory approvals from relevant governing bodies.
Currently, Sandals and Beaches Resorts operate a combined portfolio of 20 premium all-inclusive properties spread across 10 different Caribbean island nations and territories, including Jamaica, Antigua, The Bahamas, Saint Lucia, Grenada, Barbados, Curaçao, St Vincent and the Grenadines, and Turks and Caicos.