Ontario’s Blue Mountain and Quebec’s Mount Tremblant are being sold.
The $1.5 billion US acquisition by a newly-formed entity controlled by affiliates of the Aspen Skiing Company, L.L.C. (“Aspen”) and KSL Capital Partners, LLC (“KSL”) was announced on Monday by Intrawest Resorts Holdings.
“This transaction creates significant opportunity for Intrawest and delivers tremendous value to our current shareholders,” said Thomas Marano, Intrawest’s chief executive officer in a statement.
Under the terms of the merger agreement, Intrawest stockholders will receive $23.75 in cash for each share of Intrawest common stock. This represents a 40% premium over $16.97 per share, Intrawest’s closing stock price on January 12, the trading day prior to Reuters’ report speculating that the Company was exploring a potential sale, according to Marano.
“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,” said Marano. “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.”
The transaction is expected to close by the end of the third quarter this year.
Intrawest is a North American mountain resort and adventure company that wholly owns and/or operates six four-season mountain resorts with approximately 8,000 skiable acres and over 1,100 acres of land available for real estate development. Its mountain resorts are found across North America’s major ski regions, including the Eastern United States, the Rocky Mountains, and Canada.
Meanwhile, Aspen Skiing Co. owns and operates Aspen Snowmass, which has four mountains including Snowmass, Aspen Mountain, Aspen Highlands and Buttermilk.