Marriott International Inc. and its partners closed the $1.35 billion sale of Avendra LLC to Aramark Corp., with Marriott receiving $659 million for its 55% stake in the hotel procurement and hospitality supplies company.
The transaction brought in a combined $1.20 billion in cash proceeds for Marriott, Hyatt Hotels Corp., AccorHotels, ClubCorp and InterContinental Hotels Group Plc as founding shareholders of Avendra, following the redemption of management participation rights, transaction costs and repayment of Avendra's outstanding debt.
Marriott also signed a five-year procurement service agreement with Aramark on behalf of its managed hotel system in the Americas. The company said it will use proceeds from the Avendra sale for the benefit of the hotels in its system.
