Vail Resorts To Acquire Whistler Blackcomb In C$1.39 Billion Deal

By Ciara LinnaneMarketsMarketWatch Pulse

Vail Resorts Inc. said Monday it has agreed to acquire rival ski-mountain operator Whistler Blackcomb for C$17.50 (USD13.29) a share in cash and 0.0975 Vail shares. The deal is worth C$36 per share, based on closing stock prices and currency exchange rates as of Aug. 5, or a total stock and cash consideration of C$1.39 billion. "Combining Whistler Blackcomb with Vail Resorts' portfolio of outstanding resorts provides Whistler Blackcomb with increased financial strength, marketing exposure, guest relationships and broadens the geographic diversity of our company with resorts across the United States, as well as in Australia and Canada," Whistler Chief Executive Dave Brownlie said in a statement. The cash portion of the offer is equal to C$676 million, while the stock part is equal to C$715 million. Shares were not yet trading premarket. Vail stock has gained 12.5% in the year to date, while the S&P 500 has gained about 7%.

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