Royal Caribbean Group is spending roughly $3 billion to take an equity stake in Sandals and Beaches Resorts, a deal that pulls the world's best-known cruise operator straight into the Caribbean all-inclusive resort business. The investment, funded through committed debt financing from Morgan Stanley, values the deal at about 10 times forward EBITDA and is expected to close in early 2027, pending approvals.
The two companies will operate the partnership through a joint venture overseen by a board sharing leadership between Royal Caribbean Group chairman and CEO Jason Liberty and Sandals executive chairman Adam Stewart, who stays on to run Sandals and Beaches day to day. The ownership percentage Royal Caribbean receives wasn't disclosed.
The timing matters. Sandals and Beaches were already mid-expansion: Beaches has outlined a $1 billion Caribbean growth plan, while Sandals is pouring $200 million into three flagship Jamaica resorts. The most visible of those is the former Sandals Royal Caribbean, reopening this December as Sandals Caribbean Cay with 291 rooms, an expanded private-island experience, new SkyPool Suites and fresh dining concepts. The new capital is meant to speed all of that up.
For Royal Caribbean, whose brands include Royal Caribbean, Celebrity Cruises and Silversea, this adds land-based resorts to a portfolio that already stretches across ships, private islands and beach clubs. The company frames it as a play for a slice of what it estimates is a $2 trillion global vacation market — and as a way to link the two vacation styles that have long competed for the same sun-seeking traveller.
If you have a Sandals or Beaches trip booked, nothing changes. Reservations, resort operations and loyalty programmes all continue as normal. The interesting part is what comes next: Royal Caribbean has been building what it calls an industry-first loyalty programme across its whole vacation platform, so combined cruise-plus-resort packages or shared loyalty perks seem likely eventually — though nothing has been announced yet.
There's a nice backstory here too. Sandals was founded in Jamaica by Gordon "Butch" Stewart more than four decades ago and grew into one of the region's defining hospitality companies, spanning adults-only Sandals resorts and family-focused Beaches properties. Adam Stewart marked the announcement by noting his father's belief that a Caribbean-built company could stand on the world stage — and this deal, pairing Sandals with a cruise line that has sailed the region for nearly six decades, is about as visible a confirmation as it gets.
For travellers, the short version is simple: book Sandals and Beaches as usual today, and watch for bundled cruise-and-resort holidays once the deal closes in 2027. For the wider Caribbean, two of its biggest vacation names now sit under one roof, from cruise ships and private islands to some of the region's most established all-inclusive resorts.
