A GOOD BUY: Royal Caribbean acquires full control of Silversea
The cruise market may be facing serious issues with the current pandemic, but Royal Caribbean Cruises, which acquired a two-thirds stake of Silversea Cruises in 2018, has just purchased the remaining third with 5.2 million of its common stock a deal worth approximately US $245 million.
That would assume a Silversea valuation of about US $735 million, a substantial discount to the valuation of approximately US $2 billion in July 2018, when Royal Caribbean bought its stake.
“Silversea has been a great fit for our company from the very first day,” Royal Caribbean CEO Richard Fain said in a statement.
Like the cruise industry in general, Royal Caribbean shares are down about 65% this year.
Meanwhile, Royal Caribbean Cruises Ltd (the parent company) has changed its name to Royal Caribbean Group and updated the logo to reflect the new name change.
First published at Travel Industry Today