Royal Caribbean Buys 50 Percent Stake in Sandals Resorts

Royal Caribbean Group will acquire half of Sandals and Beaches Resorts. The cruise company announced the $3 billion deal on September 23.

The parent company of Royal Caribbean International, Celebrity Cruises, and Silversea is partnering with the Stewart family, which founded the resort chain. Each party will own 50 percent of the joint venture. A board co-led by Royal Caribbean Group CEO Jason Liberty and Sandals executive chairman Adam Stewart will oversee operations, with Stewart continuing to guide the resort company's long-term strategy. The transaction is expected to close in early 2027.

Both companies stated that existing reservations, loyalty programs, and day-to-day operations at the resorts and on the ships will continue unchanged.

Two All-Inclusive Models

Royal Caribbean and Sandals both offer vacations with upfront costs, but their inclusions differ significantly. This distinction often influences a traveler's choice between a cruise and a land resort.

Now one company has a stake in both models. Neither company commented on changing how either product is priced, though it presents an obvious area for potential influence.

Funding Resort Expansion

The investment is intended to fund growth for Sandals and Beaches Resorts. The partnership aims to speed up expansion to meet demand, though no new locations were specified. The companies also said they will explore ways to make it easier for travelers to discover vacations across both portfolios.

Royal Caribbean Group has recently worked to link its cruise brands' loyalty programs through status matches and its Points Choice system. The press release did not indicate whether Sandals guests will eventually earn or redeem cruise loyalty points.

Operational Hurdles Remain

Immediate changes, like cruise-and-resort bundles, are not expected. The Stewart family retains an equal say in any decisions. Geography presents another challenge.

Most Royal Caribbean sailings depart from U.S. ports like Miami, Fort Lauderdale, Port Canaveral, and Galveston. Sandals resorts are located on Caribbean islands. Combining a resort stay with a cruise would typically require additional flights.

Royal Caribbean already sells millions of cruise vacations. This $3 billion move is a bet that many of those customers will also book a week at the beach.