The Marriott-Starwood merger is one step closer to completion. Proposals related to the transaction were approved by both companies stockholders at separate special meetings held this morning.
Holders of 97 percent of Marriott shares present and voting at its meeting, representing more than 79 per cent of outstanding shares, voted in favour of the proposal to issue shares of Marriott common stock in connection with the transaction.
Holders of over 95 percent of Starwood shares present and voting at its meeting, representing more than 63 percent of outstanding shares, votes in favour of a proposal to approve the transaction.
“With today’s successful stockholder approval milestone, we are that much closer to completing our transaction,” said Arne Sorenson, Marriott’s president and CEO. “Our teams continue to plan the integration of our two companies, and we are committed to a timely and smooth transition. We appreciate the stockholders’ vote of confidence in our ability to drive long-term value and opportunity as a combined company.”
Thomas B. Mangas, Starwood’s chief executive officer, said, “Today’s vote is a significant step toward closing, and we are grateful for the continued enthusiasm and support for this merger. There is no doubt that this transaction puts our company on the best path forward and we remain excited about the opportunity this combination will create for our stockholders, associates, owners and guests.”
At closing Starwood stockholders will receive 0.8 shares of Marriott common stock plus $21.00 USD in cash for each share of Starwood common stock.
The parties have cleared the pre-merger antitrust review in the United States and Canada and multiple other jurisdictions. The transaction remains on track to close mid-2016 pending completion of Starwood’s planned divestiture of its timeshare business expected on or around April 30, 2016, obtaining remaining regulatory approvals, including in the European Union and China, and the satisfaction of other customary closing conditions.