RTTNews | Jan 26, 2021 08:30AM EST

08:29 Tuesday, January 26, 2021 (RTTNews.com) - Marriott Vacations Worldwide Corp. or MVW (VAC) said Tuesday it has agreed to acquire Welk Resorts, an independent timeshare company, for about $430 million, including about 1.4 million MVW common shares. The company expects the acquisition to close early in the second quarter of 2021.

Welk opened its first vacation ownership resort in 1984 and currently operates a portfolio of eight upper upscale vacation ownership resorts located primarily in highly sought-after West Coast U.S. vacation markets, with nearly 1,400 keys, 55,000 owners and over three years of built inventory.

MVW said it plans to rebrand all Welk resorts as Hyatt Residence Club resorts after obtaining the required approvals. The rebranding will dramatically increase Hyatt Residence Club's footprint, while providing the company substantial future growth opportunities.

"Welk's premier resorts are in highly desirable vacation markets, including San Diego, Breckenridge, Lake Tahoe and Cabo San Lucas, Mexico, and will be a nice addition to our footprint. The acquisition will expand Hyatt Residence Club's geographic presence while providing substantial future growth opportunities," said Stephen Weisz, chief executive officer of MVW.

Upon rebranding of the Welk resorts, the acquisition will expand the number of Hyatt Residence Club resorts by 50 percent, increase the number of keys by nearly 90 percent, and increase the total number of owners from approximately 33,000 currently to nearly 90,000.

Read the original article on RTTNews ( https://www.rttnews.com/3163431/marriott-vacations-worldwide-to-acquire-welk-resorts-for-about-430-mln-quick-facts.aspx)

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