Marriott receives final approval needed for Starwood buyout

Friday, September 16, 2016, Vol. 40, No. 38

NEW YORK (AP) — Chinese antitrust regulators have approved Marriott's buyout of Starwood, marking the final approval needed for the deal to close.

Marriott International Inc. and Starwood Hotels & Resorts Worldwide Inc. expect to close the deal before the market opens on Friday.

Shareholders from both companies approved the deal in April. At closing Starwood stockholders will receive 0.8 shares of Marriott common stock plus $21.00 in cash for each share of Starwood common stock.

Also, Starwood shareholders will be entitled to receive Marriott's quarterly cash dividend of 30 cents per share, which will be paid on Sept. 30.

The deal had been valued at more than $14 billion when it was announced in April.

Last year, Starwood — the owner of Sheraton, Westin and St. Regis brands — put itself on the market. The company has struggled to grow as fast as its rivals, particularly in "limited service hotels," smaller properties which don't have restaurants or meeting space.

Marriott emerged as the winner in a deal that will create the world's largest hotel chain with 5,500 properties and more than 1.1 million rooms around the world.