Diamond Resorts International to Acquire Intrawest Resort Club Group
November 25 2015 - 6:00AM
Business Wire
Expands Network Offerings to include Nine High
Quality Resorts Across North America
Diamond Resorts International, Inc. (NYSE:DRII), announced today
that it has entered into a definitive agreement to purchase
Intrawest Resort Club Group (“IRCG”) from Intrawest Resorts
Holdings, Inc. (NYSE: SNOW) for $85 million, subject to certain
closing date adjustments. The transaction is expected to be
completed by the first quarter of 2016.
IRCG develops, sells interests in, and manages a points-based
timeshare vacation club called Club Intrawest. The transaction
includes the management contracts with Club Intrawest, the current
balance of notes receivable, approximately four acres of
undeveloped land, and the current balance of points available for
sale. Club Intrawest consists of nine resorts across North America
and more than 22,000 members.
“We are acquiring a business with a very strong member base and
a set of high quality resorts that will complement our portfolio,
and we look forward to building a
mutually beneficial relationship with Intrawest beyond
this transaction,” said David Palmer, President and Chief
Executive Officer, Diamond Resorts International. “The purchase of
Intrawest Resort Club Group follows our recent acquisition of Gold
Key Resorts, both providing us with significant value creation
opportunities through synergies, sales innovation and cost savings.
We are confident that acquisitions such as these will enhance our
financial profile and create long-term shareholder value.”
“We are excited to enter into this agreement and believe this is
a strategic move for both the vacation club business and
Intrawest,” stated Tom Marano, Chief Executive Officer of Intrawest
Resorts. “With the additional cash from this transaction, we are
well positioned to continue driving organic growth at our mountain
resorts and adventure businesses while also actively pursuing
strategic acquisitions and evaluating opportunities to unlock the
value of our real estate holdings over time. We are committed to
working closely with Diamond Resorts to execute a seamless
transaction and look forward to a long-term relationship with
Diamond Resorts that we believe will benefit club owners and our
resorts alike.”
Club Intrawest has resorts in the following locations:
- Vancouver, British Columbia
- Ucluelet, British Columbia
- Whistler, British Columbia
- Panorama, British Columbia
- Blue Mountain, Ontario
- Tremblant, Quebec
- Palm Desert, California
- Sandestin, Florida
- Zihuatanejo, Mexico
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements,
including statements related to the closing of the transaction
discussed in this release and the performance of the acquired
business. These forward-looking statements are covered by the “Safe
Harbor for Forward-Looking Statements” provided by the Private
Securities Litigation Reform Act of 1995. These statements can be
identified by terminology such as “will,” “expects,” “anticipates,”
“future,” “intends,” “plans,” “believes,” “estimates” or other
similar statements, but these words are not the exclusive means for
identifying such statements. Forward-looking statements involve
known and unknown risks, uncertainties and other factors which may
cause actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by such forward-looking statements. Factors
that could cause actual results to differ materially from those in
the forward-looking statements include: general economic
conditions, the economic environment for the hospitality industry,
our ability to maintain an optimal inventory of vacation ownership
interests, and risks associated with this acquisition, including
any difficulty in integrating operations and personnel, disruption
of ongoing business and increased expenses, as well as the risks
described in Diamond’s filings with the United States Securities
and Exchange Commission including Diamond’s Annual Report on Form
10-K and subsequent reports on Form 10-Q and Form 8-K. Given the
risks and uncertainties, you are cautioned not to place undue
reliance on these forward-looking statements. These forward-looking
statements are made only as of the date hereof. Except as expressly
required by the federal securities laws, we undertake no obligation
to update or revise any forward-looking statements, whether as a
result of new information, changed circumstances or future events
or for any other reason.
About Diamond Resorts International®
Diamond Resorts International® (NYSE: DRII), with its network of
more than 350 vacation destinations located in 34 countries
throughout the continental United States, Hawaii, Canada, Mexico,
the Caribbean, South America, Central America, Europe, Asia,
Australasia and Africa, provides guests with choice and flexibility
to let them create their dream vacation, whether they are traveling
an hour away or around the world. Our relaxing vacations have the
power to give guests an increased sense of happiness and
satisfaction in their lives, while feeling healthier and more
fulfilled in their relationships, by enjoying memorable and
meaningful experiences that let them Stay Vacationed.™
Diamond Resorts International® manages vacation ownership
resorts and sells vacation ownership points that provide members
and owners with Vacations for Life® at over 350 managed and
affiliated properties and cruise itineraries.
About Intrawest Resorts Holdings, Inc.
Intrawest is a North American mountain resort and adventure
company, delivering distinctive vacation and travel experiences to
its customers for over three decades. The Company wholly owns six
four-season mountain resorts with approximately 8,000 skiable acres
and over 1,130 acres of land available for real estate development.
Intrawest’s mountain resorts are geographically diversified across
most of North America’s major ski regions, including the Eastern
United States, the Rocky Mountains, and Canada. The Company also
operates an adventure travel business, the cornerstone of which is
Canadian Mountain Holidays, a leading heli-skiing adventure company
in North America. Additionally, the Company operates a
comprehensive real estate business through which it manages,
markets and sells vacation club properties; manages condominium
hotel properties; and sells and markets residential real estate.
Intrawest Resorts Holdings, Inc. common stock is traded on the New
York Stock Exchange (NYSE: SNOW). For more information, visit
www.intrawest.com.
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version on businesswire.com: http://www.businesswire.com/news/home/20151125005060/en/
Media:Diamond Resorts CorporationStevi WaraTel: 702.823.7069;
Fax: 702.684.8705media@diamondresorts.comorInvestors:Sloane &
CompanyErica BartschTel: 212-446-1875ebartsch@sloanepr.com
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