Nationwide News understands that Sandals Resorts International is not being bought out by the Royal Caribbean Group despite reports in sections of the international and local press.
High-level sources familiar with the matter tell Nationwide News that talks are under way on a potential partnership between the two companies.
But the sources say there is no truth to reports of a buyout.
The Financial Times reported today that the cruise giant is in talks to take a controlling stake in Sandals, with a view to eventual full ownership.
It says the deal would value the Jamaican-owned resort chain at more than US $6 billion.
US business network CNBC reports that Royal Caribbean is nearing a deal for a 50 percent stake, worth about US $3 billion.
Neither company has made an official announcement.
Sandals was founded in Montego Bay in 1981 by the late Gordon “Butch” Stewart. It is now led by his son, Adam Stewart, as executive chairman.
The group operates about 20 Sandals and Beaches resorts across the Caribbean and employs roughly 20,000 people.
Miami-based Royal Caribbean Group owns the Royal Caribbean, Celebrity Cruises and Silversea brands, with a fleet of close to 70 ships.
It reported revenue of almost US $18 billion last year and carried a record 9.4 million guests.
Royal Caribbean has been expanding beyond cruising into land-based vacations, including its own private beach clubs and island destinations.
