Will Marriott Be Able to Top Anbang’s Offer for Starwood?
Photo Credit: All of Starwood's brands will likely remain if it accepts the Anbang offer. Pictured here is a Sheraton Club section of a hotel reserved for Starwood Preferred Guest members. Starwood Hotels & Resorts
Skift Take
Marriott needs to figure out just how badly it wants Starwood. And Starwood needs to figure out what's better for them in the short term (Anbang) versus the long term (Marriott, maybe).
Starwood Hotels & Resorts announced today that it would accept an offer to sell the company to a group led by Anbang Insurance Group, rejecting a deal it made in November with Marriott International.
Marriott is now in the position to consider a counter offer. But can it, or will it, actually present an offer to Starwood that's better than Anbang's binding and fully financed one? That's the big question on everyone's mind.
Today, Starwood said it is accepting a "Superior Proposal" led by Beijing-based Anbang Insurance Group to acquire the company for approximately $13.2 billion. The all-cash bid from Anbang, J.C. Flowers & Co., and Primavera Capital, is a 14- to 22-percent premium on what Marriott International initially offered to Starwood in November — $12.2 billion, mostly in stock.
Now, Marriott has until 11:59 p.m. ET on March 28 to counter-offer if it wants to keep that merger agreement with Starwood. If Starwood decides to proceed with the takeover bid from An
