Three-ship fleet will be acquired by private equity firm Sycamore Partners this spring
By
Rebecca Gibson |
Royal Caribbean Group is to sell its Azamara brand to US-based private equity firm Sycamore Partners for US$201 million in an all-cash, carve-out transaction.
According to the definitive agreement, Sycamore Partners will acquire the entire Azamara brand, including its three-ship fleet and associated intellectual property, subject to certain adjustments and certain closing conditions. The transaction is expected to be completed in the first quarter of 2021 and will allow Royal Caribbean Group to focus on expanding its Royal Caribbean International, Celebrity Cruises and Silversea brands.
“Our strategy has evolved into placing more of our resources behind three global brands, Royal Caribbean International, Celebrity Cruises and Silversea, and working to grow them as we emerge from this unprecedented period," said Richard Fain, chairman and CEO of Royal Caribbean Group. "Even so, Azamara remains a strong brand with its own tremendous potential for growth, and Sycamore's track record demonstrates that they will be good stewards of what the Azamara team has built over the past 13 years."
Azamara’s team, value proposition and operations will remain consistent under the new arrangement. Carol Cabezas, Azamara’s former chief operating officer, has now been appointed president and will oversee the transition.
"We are pleased that Royal Caribbean Group has entrusted Sycamore to support Azamara in its next phase of growth," said Stefan Kaluzny, managing director of Sycamore Partners. "We are excited to partner with the Azamara team and build on their many years of success serving the brand's loyal customers. We believe Azamara will remain a top choice for discerning travellers as the cruising industry recovers over time."