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Last Monday Marriott International, Inc. (NASDAQ: MAR) and Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) announced 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, Marriot International explains in a brief press statement.
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.
– Combined Company Will Have 1.1 Million Rooms in More Than 5,500 Hotels, panning the Globe in Over 100 Countries
– 30 Leading Brands Will Provide Guests Unmatched Choices
– Transaction Offers Substantial Economies of Scale
– Combined Company Should Deliver Significant Capital Returns to Shareholders