Marriott Trumps Anbang’s Bid for Starwood

Starwood Hotels and Resorts announced that it had received a new bid from Marriott International that was significantly higher than both its previous bid and the bid Starwood received from a consortium led by China’s Anbang Insurance Group.

The proposal values Starwood at $13.6 billion, or $79.53 per share.

The new deal calls for Starwood shareholders to receive $21 in cash and 0.8 of a share of Marriott stock for each Starwood share. Both companies said they would hold special shareholder meetings on April 8 to approve the deal, which is expected to close by mid-2016.

The combined company would be the world’s largest hotelier, with such brands as Ritz-Carlton, Westin, Sheraton, St. Regis, Le Meridien, Courtyard, and Renaissance.

Starwood said in a statement Monday that the Anbang led proposal no longer constituted a “superior proposal” and, that under the revised merger agreement, it was not allowed to engage in negotiations or discussions with the consortium.

(Photo: Accura Media Group)