# Marriott buying Hyatt?



## Benz_one (Oct 12, 2017)

https://www.thestreet.com/story/143...n-takeover-offer-from-marriott-vacations.html

What would that do for Hyatt and Marriott owners?


----------



## CoryW (Oct 13, 2017)

Well, since ILG owns both Interval International and Hyatt Residence Group, I would be concerned the variable trading power you get in II with Marriott deposits will some day apply to Hyatt deposits as well.

That would be losing a big advantage of Hyatt deposits into II in my opinion. For example, 1300 points gets you a 2 bedroom in peak TDI season in II... whereas with Marriott your trading power is more variable, depending upon where you own.


----------



## lizap (Oct 13, 2017)

If this was to happen, it would be good for HRC owners in that they surely would be allowed to convert to HPC at a nominal price (should they desire to do so).


----------



## pedro47 (Oct 13, 2017)

On paper sounds like a win / win for Hyatt & Marriott owners.


----------



## Tucsonadventurer (Oct 13, 2017)

Benz_one said:


> https://www.thestreet.com/story/143...n-takeover-offer-from-marriott-vacations.html
> 
> What would that do for Hyatt and Marriott owners?


So are they now only interested in Hyatt? Interval also owns Vistana , not sure how good it would be for them to own so much of the market. Marriott does not honor re-sales except through interval so that could be unfavorable


----------



## youppi (Oct 14, 2017)

lizap said:


> If this was to happen, it would be good for HRC owners in that they surely would be allowed to convert to HPC at a nominal price (should they desire to do so).


May be, may be not. Marriott's built their resorts, sold weeks and recover their moneys. So, offering later to their owners to convert to DC point system for almost free didn't surprise anybody. But if they spend money to acquire ILG, I would be surprise that they will permit HRC owners to convert to HPC for almost free. 

If they acquire ILG, is it to manage N systems independently like Wyndham do or they will try to convert HRC and VSE owners to the DC system by asking a lot of money like Diamond Resorts do ?


----------



## Kal (Oct 14, 2017)

youppi said:


> May be, may be not. Marriott's built their resorts, sold weeks and recover their moneys. So, offering later to their owners to convert to DC point system for almost free didn't surprise anybody. But if they spend money to acquire ILG, I would be surprise that they will permit HRC owners to convert to HPC for almost free.
> 
> If they acquire ILG, is it to manage N systems independently like Wyndham do or they will try to convert HRC and VSE owners to the DC system by asking a lot of money like Diamond Resorts do ?


Generally, when a takeover or buy-out occurs, the purchasing company sees considerable value in the transaction.  Most often they don't want to make any major changes so as not to disrupt the profitability of the new purchase.  The key is what management personnel changes would occur?  My guess is the "brain trust" behind the HRP program would either be viewed as genius or morons.  I'm going with morons, so maybe a change would be ahead for the rest of us.


----------



## vikingsholm (Oct 14, 2017)

I could see that if Marriott tries to integrate Vistana and Hyatt timeshare properties, they would want owners of those systems plus their own Marriott timeshare owners to buy into a merged point system that allows them access to these other properties that they don't currently own. So it would be a unified point system, but you'd only have access to the properties that you had bought into separately. They would have to make this buy in rather affordable though, as many of us would not be willing to pitch out the kind of fees they charge now to join one of these systems initially, just to get this kind of additional access. So you could buy into access to one, two, or all three of these for points use, while weeks trades might continue the way they are now in II with no extra buy-in fee (but hopefully some kind of inter-system preference). Just a speculation.


----------



## echino (Oct 14, 2017)

Vistana owners get preference in II when trading into Vistana resorts, even if they can trade internally using staroptions.

But Hyatt owners not only don't get a preference, they are prohibited from trading into Hyatt resorts via II altogether.

Very different approaches.


----------



## lizap (Oct 14, 2017)

Kal said:


> Generally, when a takeover or buy-out occurs, the purchasing company sees considerable value in the transaction.  Most often they don't want to make any major changes so as not to disrupt the profitability of the new purchase.  The key is what management personnel changes would occur?  My guess is the "brain trust" behind the HRP program would either be viewed as genius or morons.  I'm going with morons, so maybe a change would be ahead for the rest of us.



Al almost always, I agree with you Kal.  Marriott is a well run organization; Hyatt (TSs) is not. The odds of Marriott keeping the moronic program rules Hyatt has created is close to zero..


----------



## dioxide45 (Oct 14, 2017)

echino said:


> Vistana owners get preference in II when trading into Vistana resorts, even if they can trade internally using staroptions.
> 
> But Hyatt owners not only don't get a preference, they are prohibited from trading into Hyatt resorts via II altogether.
> 
> Very different approaches.


Marriott Vacation Club is the same for its DC points owners. You can't use DC points to trade in to other Marriott properties in II. So from that standpoint, they are somewhat similar to Hyatt.

I think if VAC buys ILG, you may see them divest the Hyatt portion of the ILG portfolio. Hyatt may balk at such an arrangement as I believe ILG's license agreement with Hyatt gives them the ability to block such a deal or cancel it if IL is acquired by a competing hotel brand. Vistana has something similar, but I wouldn't expect Marriott (which now owns the Westin and Sheraton brands) to block any deal for MCV to buy ILG.


----------



## Kal (Oct 14, 2017)

dioxide45 said:


> ...I think if VAC buys ILG, you may see them divest the Hyatt portion of the ILG portfolio. Hyatt may balk at such an arrangement as I believe ILG's license agreement with Hyatt gives them the ability to block such a deal or cancel it if IL is acquired by a competing hotel brand. Vistana has something similar, but I wouldn't expect Marriott (which now owns the Westin and Sheraton brands) to block any deal for MCV to buy ILG.


This reminds me of an issue regarding the recent owner vote at Hyatt Maui.  Will need to check that Maui thread to refresh my memory.  As I recall, if ILG is purchased by others, that opens a situation where the Maui owners could be placed in an ugly ownership issue.


----------



## ResaleExpert (Oct 23, 2017)

echino said:


> Vistana owners get preference in II when trading into Vistana resorts, even if they can trade internally using staroptions.
> 
> But Hyatt owners not only don't get a preference, they are prohibited from trading into Hyatt resorts via II altogether.
> 
> Very different approaches.


True but Hyatt trades to Hyatt internally with typically a higher amount of points for most trades. You can trade within Hyatt to Hyatt for 2, 3, 4 Days or a full week  
It takes only 1,300 Hyatt points to trade for a high Season 2 Br week through II.  These are on the market for $999.  I believe anyone wanting to use Interval with very high priority would be hard pressed to find a better ownership.  Also 1 Br is 870 points and studio only 430 points.


----------



## WalnutBaron (Oct 24, 2017)

ResaleExpert said:


> True but Hyatt trades to Hyatt internally with typically a higher amount of points for most trades. You can trade within Hyatt to Hyatt for 2, 3, 4 Days or a full week
> It takes only 1,300 Hyatt points to trade for a high Season 2 Br week through II.  These are on the market for $999.  I believe anyone wanting to use Interval with very high priority would be hard pressed to find a better ownership.  Also 1 Br is 870 points and studio only 430 points.


Excellent post, ResaleExpert. This certainly speaks to the high trade value that II assigns to Hyatt exchanges.


----------

