The sales and purchase agreement covers all 37 Outrigger properties, including the Asian and Indian Ocean portfolio in Thailand, Maldives and Mauritius, and the Outrigger Laguna Phuket Beach Resort in Cherng Talay, on Phuket’s west coast.
According to the company the existing management structure will remain, though the group recently underwent corporate downsizing in Asia, reported Bill Barnett, Managing Director of hospitality consultancy C9 Hotelworks. (See story here.)
KSL is a leading investor in travel and leisure enterprises in five primary sectors: hospitality, recreation, clubs, real estate and travel services. KSL has offices in Denver, CO; Stamford, CT; and London, UK.
The transaction is subject to shareholder approval and customary closing conditions, noted a release by Outrigger issued earlier this week.
“As one of the world’s leading investors in hospitality, KSL has the capital capacity to elevate Outrigger to the next level – infusing additional resources into our current assets and helping to accelerate our long-term growth goals,” said W. David P. Carey, President and CEO of Outrigger Enterprises Group.
“Without question, this is an exciting time for Outrigger; our brand has never been stronger and it is with enthusiasm that we look forward to the advantages that this transaction will create for our valued hosts, guests and communities we serve.”
Dr Charles Kelley, Board Chairman of Outrigger Enterprises Group, added, “Since my grandparents – Roy and Estelle Kelley – founded Outrigger in 1947, our family-run hospitality business has created world-class vacations for millions of travelers and life-changing employment opportunities for our hosts.
“Our family is humbled to have had the privilege of leading this company for nearly 70 years and to have worked with some of the best in the industry. We have a responsibility to make strategic decisions today that put our company on the best path for future success; we are confident that KSL will make Outrigger more resilient in today’s global hospitality market.”
Marty Newburger, partner at KSL, noted, “Outrigger is a well-established, highly successful company that has built a unique portfolio of world-class hotels. For nearly seven decades, the Outrigger team has been focused on providing authentic, localised experiences for guests in iconic resort destinations.
“We are excited to continue the strong tradition that the Kelley family has built. Outrigger’s and KSL’s values are aligned with creating lasting and memorable experiences for our resort guests at properties that are integral to the communities in which they operate. Outrigger owns and operates resorts in truly remarkable destinations and KSL is excited be a part of the next chapter of Outrigger’s extraordinary story.”
Upon closure of the transaction, Outrigger’s current management team will continue to lead the company and the company’s headquarters will remain in Honolulu, Hawaii, the statement confirmed.