Apollo Global Management LLC has purchased the company in a transaction that is expected to close over the next few months, resulting in Apollo becoming a privately held company. Diamond Resorts is based in Las Vegas and its portfolio includes 379 international vacation destinations, including resorts in 31 states.
It was announced late last week that Diamond Resorts was sold for $2.2 billion cash to Apollo Global Management LLC, the Sedona (Ariz.) Red Rock News reported.
On July 29, officials from both companies released a joint press release expressing their satisfaction that a purchase agreement could be met, News reported.
“We have built a solid business focused on operational excellence, hospitality and customer satisfaction, the result of which has been stellar financial results and strong cash generation,” Diamond Resorts CEO David Palmer said. “This transaction is an excellent outcome for our shareholders.”
Diamond Resorts is based in Las Vegas and its portfolio includes 379 international vacation destinations, including resorts in 31 states.
“Apollo values the culture of hospitality and customer service that is the legacy of our founder and Chairman Stephen J. Cloobeck and instilled in our organization,” Palmer said. “We are confident that Diamond Resorts will continue to be a vibrant company for our employees, partners and customers, and I am excited about the future of Diamond Resorts.”
The all-cash offer represents a premium of approximately 26% over Diamond Resorts’ closing share price on June 28 and a premium of approximately 58% over the closing share price on February 24, the day of Diamond Resorts’ announcement that it was exploring strategic alternatives, the News reported.
The transaction is expected to close over the next few months, the release said. If completed, the transaction will result in Apollo becoming a privately held company, and Diamond Resorts’ common shares will no longer be listed on any public market, the News reported.
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