Following the lead of many of its peers, Wyndham Worldwide (WYN) announced that it would spin off its timeshare business into a standalone entity. The new timeshare company will become the largest timeshare company in the world (at least by revenues – $3.4b) and include both Wyndham Vacation Ownership and RCI, a timeshare exchange program. The hotel company generated… Read More »
There is just something exciting about a three-way split. It’s just such a radical transformation and in some ways it’s hard to believe that a company like hotelier Hilton Worldwide (HLT) could pull it off. ITT sure, but Hilton? January 3rd is the day though when Hilton will officially spin off a) Hilton Grand Vacations, its timeshare business… Read More »
Hilton Worldwide Holdings(HLT) announced this morning that it has filed Form 10 registration statements for two previously announced spinoffs of its real estate and timeshare businesses. CEO Christopher J. Nassetta said the spins will be completed later this year. Following the transactions, Nassetta will continue to lead Hilton, which will be an asset-lite fee-based business. On a pro forma… Read More »
With all of the world focused on Starwood’s (HOT) buyout and the exciting bidding war between Anbang and Marriott International (MAR) it was easy to forget about the planned spinoff of Vistana, its timeshare business. It always seemed to get lumped into the bids, but as a reminder, the company will merge into the Interval Leisure Group (IILG)… Read More »
A few short hits for a December Friday: By now, everyone has read about the proposed ‘mega merger of equals’ between Dow Chemical (DOW) and DuPont (DD) and the subsequent breakup into three separate companies (agriculture, specialty products and materials). One question worth pondering is how does it actually avoid the tax man? It sure seems like a… Read More »
Last month, we reported speculation that Starwood Hotels(HOT) would be acquired by one of three Chinese hoteliers or Hyatt Hotels(H). An acquisition was indeed in the offing, but by a company unmentioned in those previous reports- Marriott International(MAR). Marriott announced yesterday that it would be acquiring Starwood for $12.2 billion. Not to worry, spinoff fans. Starwood’s spinoff of… Read More »
While releasing strong Q4 results, Starwood Hotels (HOT) also announced plans to spinoff its timeshare business, Starwood Vacation Ownership. The timeshare unit reported revenues of $640m in 2014, representing a little over 10% of the overall company’s total. According to the press release, the company ‘has successfully sold more than $6 billion of vacation ownership intervals to over… Read More »
Marriott Vacations Worldwide(VAC) which we discussed previously, has now completed its spinoff. Timeshares are a challenging industry; they sell a product that many buyers seem unhappy with. Goldman Sachs started the company with a Neutral rating, and in the current economic environment is likely to be challenging for the new company. The former parent, Marriott International(MAR), has… Read More »
After a busy Halloween, it is time to look ahead to the next spinoff opportunities. Luckily we won’t have to wait long as Marriott International’s (MAR) board of directors recently approved the spinoff of its vacation club, Marriott Vacations Worldwide. The distribution is expected to take place on November 21st (to shareholders as of Nov 10th) and shareholders… Read More »
Anyone else have this experience? A friend suggests a fantastic trip and the best part of all is that he ‘found’ a cheap stay at a nice hotel. The catch? Wasting half of a precious vacation day sitting through a hard sell for a timeshare. Ouch. While it’s fun to see how many freebies the company will throw… Read More »