Intrawest Resorts To Be Sold For US$1.5 Billion
Intrawest Resorts Holdings, owner of Blue Mountain in Ontario and Mont Tremblant (pictured) in Quebec, is being sold for US$1.5 billion to a newly formed entity controlled by affiliates of the Aspen Skiing Company and KSL Capital Partners.
Under the terms of the merger agreement, Intrawest stockholders will receive $23.75 in cash for each share of Intrawest common stock, representing a total valuation of approximately $1.5 billion including debt obligations to be assumed or refinanced net of cash at closing. The transaction was unanimously approved by the board of directors of Intrawest.
The transaction is expected to close by the end of the third quarter of 2017 and is subject to certain closing conditions including regulatory approvals.
“This transaction creates significant opportunity for Intrawest and delivers tremendous value to our current shareholders,” said Thomas Marano, Intrawest’s chief executive officer. “The cash consideration of $23.75 per share represents a 40% premium over $16.97 per share, Intrawest’s closing stock price on Jan. 12, 2017, the trading day prior to Reuters’ report speculating that the company was exploring a potential sale. We are excited to work with Aspen and KSL. Our new partners bring additional financial resources and a shared passion for the mountains and our mountain communities. Both Aspen and KSL are committed to helping Intrawest accelerate our plans to bring more value to our guests, more opportunities for our employees and more investment into our local communities.”
For the full 2017-18 winter season, each Intrawest resort will continue to honour the resort’s existing pass products that are currently on sale, including the Rocky Mountain Super Pass + and the M.A.X. Pass.
