Regent Seven Seas Sold!
Ray Goldenberg
I have received a letter from the President of Regent Seven Seas that
confirms the rumored sale of Regent Seven Seas Cruise Line. Please
see below my signature. If you have missed any of my news' postings,
they are available on my web site.
Best regards,
Ray
LIGHTHOUSE TRAVEL
800-719-9917 or 805-566-3905
http://www.lighthousetravel.com
December 10, 2007
Dear Travel Agent Partner:
We have some exciting news to share with you about our company. Regent
Seven Seas Cruises is being purchased by Apollo Management LP, a New
York-based investment group, from Minneapolis-based Carlson.
Regent Seven Seas Cruises and Oceania Cruises will be placed under the
ownership of Prestige Cruise Holdings, Inc. (PCH), a corporation
controlled by Apollo which will manage certain cruise portfolio assets
of Apollo. NCL Corporation will remain a separate holding outside of
PCH.
Regent Seven Seas Cruises will remain a wholly independent brand under
my guidance as president of Regent Seven Seas Cruises, and will
continue to operate from its Fort Lauderdale, Florida headquarters,
and reservations will continue to operate from Omaha, Nebraska.
Oceania Cruises will remain in its Miami headquarters, headed by Bob
Binder, president of Oceania Cruises. Both Bob and I will report
directly to Frank Del Rio, chairman and CEO of Prestige Cruise
Holdings.
In addition to the strong brand recognition and award-winning products
of both brands, there is something else we both share - our commitment
to our travel partners. The success of Regent Seven Seas Cruises and
our new sister brand has been driven by you and the agency community
as a whole. Regent Seven Seas Cruises and Oceania Cruises are both
renowned for their relationship with the agency community and that is
something that will only get stronger as we build new ships, chart new
destinations and explore new opportunities with our travel partners.
For you, this change of ownership will not have any impact on your
relationship with Regent Seven Seas Cruises or your clients'
experience on our ships. So the key messages I wish to share with you
are:
* Regent Seven Seas Cruises will continue to operate as a
stand-alone brand
* We will continue to deliver the same great experiences that your
clients have enjoyed and that have made us successful
* There are no plans to make changes to our existing offerings or
published schedules
* Our core management team and key personnel on land and at sea
will remain intact
We will partner with Carlson to continue to grow the Regent brand at
sea and on land. In addition to our plans to grow Regent at sea,
Regent Hotels & Resorts will continue to operate and grow as part of
Carlson Hotels Worldwide, the world's ninth largest hotel company. The
Regent brand will continue to offer to our guests the very best in
luxury service and travel experiences, including the finest
personalized service and warm and friendly hospitality worldwide.
We are excited about the future of Regent Seven Seas Cruises, and we
will keep working with you to provide the very best luxury cruise
experience for your clients. Thank you for your continued support of
Regent.
Kindest personal regards,
Mark S. Conroy
Signed by Mark Conroy
President, Regent Seven Seas Cruises
Ike
know of the affiliation of Oceania with any other brand.
I wonder if this acquisition will affect Oceania, which
my wife and I consider our new home afloat...
Ike
Ray Goldenberg
Here is the official press release on this major cruise industry
event.
Best regards,
Ray
LIGHTHOUSE TRAVEL
800-719-9917 or 805-566-3905
http://www.lighthousetravel.com
APOLLO MANAGEMENT L.P. ACQUIRES REGENT SEVEN SEAS CRUISES
Regent Seven Seas and Oceania Cruises to Remain Independent Brands
Carlson to Retain and Expand Regent Hotels & Resorts Worldwide
Bjorn Gullaksen, Carlson Hotels Veteran, to Lead New Regent Brand
Council
MIAMI, FLA., Dec. 10, 2007 – Minneapolis-based Carlson and Apollo
Management L.P. (Apollo) today announced that Apollo has agreed to
acquire Carlson’s Regent Seven Seas Cruises operations. The
acquisition is expected to be completed in the first quarter of 2008,
subject to normal conditions for a transaction of this type, including
regulatory approval. The cruise operations will continue as a key part
of the global Regent brand.
Regent Seven Seas Cruises and Oceania Cruises will be placed under the
ownership of Prestige Cruise Holdings, Inc. (PCH), a corporation
controlled by Apollo which will manage certain cruise portfolio assets
of Apollo. NCL Corporation will remain a separate holding outside of
PCH.
Regent Seven Seas Cruises will remain a wholly independent brand under
the guidance of Mark Conroy, president of Regent Seven Seas Cruises,
and will continue to operate from its Fort Lauderdale, Florida
headquarters, and Oceania Cruises will remain in its Miami
headquarters, headed by Bob Binder, president of Oceania Cruises. Both
Binder and Conroy will report directly to Frank Del Rio, chairman and
CEO of Prestige Cruise Holdings.
The transaction is part of a unified strategy undertaken by Apollo and
Carlson to expand their respective core cruise and hotel operations,
and become the world’s preeminent operators of luxury hotels, resorts
and cruises. Carlson will retain ownership of the master Regent brand,
along with the worldwide operations of Regent Hotels & Resorts.
“Through this proposed investment, Apollo has demonstrated its deep
commitment to the Regent brand and the continuing growth of the Regent
cruise line fleet,” said Carlson Chairman and Chief Executive Officer
Marilyn Carlson Nelson. “As owners of the Regent brand, we remain
committed to expanding its scope and success both on land and at sea.
We are confident the Regent cruise brand will continue to develop
along with and lead the industry segment, which has expanded
dramatically since 1992, when we launched our first ship. The
potential for continued expansion of the luxury Regent hotel brand,
and our entire hotel portfolio, is enormous.”
Apollo’s acquisition of Regent Seven Seas Cruises strengthens its
position in the cruise industry with the addition of an award-winning
luxury cruise brand to its cruise portfolio. Regent Seven Seas Cruises
will continue to focus on the luxury segment of the marketplace by
offering a six-star, all-inclusive experience, and Oceania Cruises
will continue to lead the Upper Premium segment.
“Everyone at Regent Seven Seas Cruises is delighted with the
formation of this new family of companies. With the tremendous
financial resources of Apollo available to us, Regent Seven Seas
Cruises will continue to strengthen our position as the leading luxury
cruise brand. Our valued guests and travel agent partners will
experience a seamless transition as we continue to deliver world-class
cruise vacation experiences. We look forward to continued success and
the use of the new financial resources available to accelerate our
future growth,” stated Mark Conroy, president of Regent Seven Seas
Cruises.
“Regent Seven Seas is the largest, most successful luxury cruise
brand, and we look forward to the growth opportunities this addition
offers consumers, travel agents and the team members at both Regent
Seven Seas Cruises and Oceania Cruises,” stated Steve Martinez, a
partner with Apollo.
Six times chosen as the world's top-rated cruise line by the readers
of Condé Nast Traveler and Travel + Leisure magazine, Regent Seven
Seas Cruises offers voyages to all corners of the globe aboard its
fleet of modern, six-star rated, luxury vessels. In addition to the
all-suite, all-balcony, 700-guest Seven Seas Voyager and all-suite,
all-balcony, 700-guest Seven Seas Mariner, the fleet also includes the
490-guest Seven Seas Navigator, with 90 percent balcony suites, and
the 330-guest Paul Gauguin, a ship dedicated to sailing the South
Pacific.
“Regent Seven Seas Cruises offers an exceptional product, and its
superb shipboard and shoreside teams have built an enviable reputation
as the foremost luxury cruise brand. The brand awareness and market
presence of Regent Seven Seas Cruises and Oceania Cruises will offer
our discerning travelers and travel agents worldwide the most vibrant
and diverse range of cruise experiences, serving the broadest spectrum
of spectacular destinations,” stated Frank Del Rio, chairman and CEO
of Prestige Cruise Holdings.
Lehman Brothers Inc. served as financial advisor to Prestige Cruise
Holdings on the transaction, and Goldman, Sachs & Co. served as
financial advisor to Carlson.
Carlson announced today that it has named Bjørn Gullaksen as
president, Regent Luxury Group. Gullaksen has most recently served as
executive vice president for Carlson Hotels Worldwide Managed Hotels &
Resorts in the Americas. He will continue to oversee the managed hotel
and resort operations in his new role. A hospitality industry veteran
with more than 30 years of experience, he previously has served as the
company’s executive vice president of Full Service Hotels, including
Radisson Hotels & Resorts and Park Plaza Hotels & Resorts.
Under Gullaksen, a brand council, with leadership from the cruise
company and Carlson Hotels Worldwide, will oversee the luxury
standards of the Regent brand in all of its applications globally.
Jay Witzel, president and CEO of Carlson Hotels Worldwide and CEO of
Regent, said Regent Hotels & Resorts will continue to grow globally as
a leading luxury brand in the hotel industry. Following the completion
of the cruise line transaction, Regent Hotels & Resorts will be
operated as part of Carlson Hotels Worldwide, one of the world’s top
10 hotel companies. The current global portfolio includes Regent
properties in Beijing; Shanghai; Singapore; Taipei; Berlin; Zagreb,
Croatia; and Turks and Caicos. The company’s North American expansion
plans also include The Regent Bal Harbour, Florida, scheduled to open
in early 2008 and The Regent Boston at Battery Wharf, also scheduled
to open in 2008. Future global developments include properties in
Bordeaux, France; Bangkok, Thailand; The Republic of Maldives; Abu
Dhabi, United Arab Emirates; Papagayo, Costa Rica; and Dubrovnik,
Croatia.
ABOUT APOLLO MANAGEMENT L.P.:
Founded in 1990, Apollo is a leading private equity and capital
markets investor with more than 17 years of experience investing
across the capital structure of leveraged companies. The firm employs
over 140 professionals and has offices in New York, Los Angeles,
London, Singapore, Frankfurt and Paris. Since its inception, Apollo
has managed more than $ 28 billion of capital across a wide variety
of industries both domestically and internationally. The firm’s most
recent private equity fund and its co-investment affiliate have
capital commitments of approximately $11.6 billion. Investments in the
leisure and hospitality industries have included Harrah’s
Entertainment (pending), AMC Entertainment, Sirius Satellite Radio,
Wyndham International, and Vail Resorts. Apollo is already active in
the cruise industry, having invested in the upper premium Oceania
Cruises brand earlier this year, and is scheduled to shortly close on
a committed investment in NCL Corporation Ltd (“NCL”), parent company
of Norwegian Cruise Line and NCL America . Since investing in Oceana,
Apollo has supported the ordering of two new ships worth approximately
$1 billion.
ABOUT CARLSON:
Carlson is a global leader in the hotel, restaurant, business and
leisure travel, and marketing industries.
The Carlson family of brands and services include: Regent Hotels &
Resorts®, Radisson Hotels & Resorts®, Park Plaza Hotels & Resorts,
Country Inn & Suites By Carlson, Park Inn® hotels, Regent Seven Seas
Cruises®, T.G.I. Friday’s® and Pick Up Stix® restaurants, Carlson
Wagonlit Travel®, Cruise HolidaysSM, All Aboard Travel, Cruise
Specialists, Fly4Less.com, Cruise Deals.com, Dazzle Travel, Results!
Travel®, Carlson Destination Marketing Services, Carlson Leisure
Travel Services, SeaMaster Cruises®, SinglesCruise.com, Partners In
Travel, Luxury Travel Network, Carlson Marketing, Peppers & Rogers
Group®, and Gold Points Reward Network®.
Based in Minneapolis, Carlson’s brands and services employ about
190,000 people in 150 countries and territories. Carlson’s 2006
systemwide sales, including franchised operations, totaled $37.1
billion. www.carlson.com
ABOUT REGENT SEVEN SEAS CRUISES:
Regent Seven Seas CruisesSM (RSSC) operates a fleet of medium-sized
luxury cruise ships that visit over 300 ports on all seven continents,
including Antarctica. RSSC is consistently rated among the world's top
three cruise lines by readers of luxury travel magazines. Travel
professionals worldwide voted RSSC the "World's Best Luxury Cruise
Line" for the third consecutive year as part of the 2006 Travel Weekly
Awards and readers of Condé Nast Traveler magazine voted RSSC "World's
Best Small-Ship Cruise Line" in 2007. For further information,
contact Regent Seven Seas Cruises, 1000 Corporate Drive, Suite 500,
Fort Lauderdale, Florida, 33334. For brochures, call toll-free (866)
284-4079; for reservation information call toll-free (800) 285-1835;
or visit: www.RSSC.com.
ABOUT OCEANIA CRUISES:
Oceania Cruises® is the world’s only upper-premium cruise line and
offers a unique combination of the finest cuisine at sea, luxurious
accommodations, exceptional personalized service and extraordinary
value. As the leader in destination cruising, Oceania Cruises sails to
more than 180 ports in Europe, Australia, New Zealand, Asia, South
America, and the Caribbean. Featuring three intimate and elegant
mid-sized ships, Regatta, Insignia and Nautica, the line will
introduce two new mid-size Oceania Class ships to its award-winning
fleet in 2010 and 2011. For additional information, to make a
reservation, or to order a brochure, please contact your Travel Agent
or Oceania Cruises at 800-531-5658. Visit us at
www.OceaniaCruises.com.