Marriott Still Committed to Starwood Acquisition

Marriott International has reaffirmed its commitment to acquire Starwood Hotels & Resorts Worldwide, Inc., a move that would create the world’s largest hotel company.

According to officials, the combined company will offer stockholders significant equity upside and greater long term value driven by a larger global footprint, wider choice of brands for consumers, improved economics to owners and franchisees leading to accelerated global growth and continued strong returns. Marriott is confident that the previously announced merger agreement is the best course for both companies.

On March 11, Starwood notified Marriott that it had received an unsolicited indication of interest in purchasing Starwood from a consortium of potential investors, led by Anbang Insurance Group. Marriott notes that this unsolicited indication of interest is highly conditional and non-binding. Marriott has granted Starwood a waiver to expedite its evaluation of the letter from the interested consortium.

Marriott stated it will monitor this development as it and Starwood continue to work toward the closing of its transaction and the successful integration of the two companies in anticipation of votes by each company’s stockholders on March 28.

Starwood stated that its board of directors has not changed its recommendation in support of Starwood’s merger with Marriott.