Royal Caribbean To Buy Spanish Cruise Operator
Royal Caribbean Cruises Ltd. has taken one step closer to expanding its European operations buy purchasing its first wholly-owned European brand.
In an agreement announced Aug. 31, Royal Caribbean inked a deal to purchase Madrid-based cruise and tour operator, Pullmantur. Royal Caribbean expects the acquisition to be completed by the fourth quarter of 2006, according to a press release.
Pullmantur is the largest cruise operator in Spain with five ships that operate in Europe and Latin America. Its other primary business interest is tour operations, in which the company sells travel packages, including hotel and flight components, primarily to Caribbean resorts and to Europe.
Pullmantur also has a small air business that operates three aircraft.
Royal Caribbean has signed an agreement with the shareholders of Pullmantur to buy all of the capital stock of the company for 430 million euro, plus Pullmantur’s net debt of approximately 270 million euro. As part of the transaction, Pullmantur will be withdrawing from all Cuba-related activities prior to closing.