Cascade Investment affiliate to acquire controlling stake in Four Seasons for $2.21B

An affiliate of Cascade Investment LLC, a longstanding shareholder, has entered into a definitive agreement to acquire a controlling interest in Four Seasons Hotels and Resorts.

In the all-cash deal, Cascade will increase its existing 47.5% stake to 71.25% by purchasing half of the existing 47.5% stake owned by an affiliate of its long-term investment partner Kingdom Holding Company (KHC) for $2.21 billion, valuing Four Seasons at a $10 billion enterprise value. Isadore Sharp, Four Seasons founder/chairman, through Triples Holdings Limited, will retain his 5% stake.

Cascade’s increased investment reflects its strong belief and excitement for Four Seasons brand, according to the company. Along with its long-standing investment partners, Cascade reaffirms its support for the vision and unique culture that will further distinguish Four Seasons as one of the world’s leading luxury companies. The transaction marks a pivotal point in the evolution of Four Seasons, strengthening Cascade’s commitment to provide the company with resources to accelerate growth and expand its strategic goals. Cascade first invested in Four Seasons in 1997 when the company was public.

“As we mark our 60th anniversary and look back on the profound impact that Four Seasons has had on luxury hospitality, we also look forward with tremendous excitement and confidence in the future of the industry,” said John Davison, CEO, Four Seasons. “The unwavering support and partnership of our shareholders has and continues to be critical as we capitalize on growing opportunities to serve luxury consumers worldwide.”

He added, “Our company is at yet another key moment in its storied history and the confidence of our shareholders in Four Seasons and our strategic vision help position the iconic Four Seasons brand for continued success.”

Following the transaction and through its affiliate’s ownership of its 23.75% in Four Seasons, KHC remains strongly committed to the company and looks forward to continuing to assist Four Seasons with its growth plans, the company reports.

The sale is expected to close in January 2022, pending regulatory approvals and the satisfaction of other customary closing conditions.