Is Bluegreen going out of business? This question has been on the minds of many since the announcement of Bluegreen Vacations Holding Corporation’s agreement to be acquired by Hilton Grand Vacations Inc. The transaction, valued at approximately $1.5 billion, marks a significant shift in the vacation ownership landscape. Let’s explore what this deal entails and what it means for Bluegreen’s future.
Is Bluegreen Going Out of Business?
Despite the acquisition, Bluegreen is not going out of business. Instead, it is merging into a larger organization, likely providing even more value to its owners and members. The combined strengths of Bluegreen and Hilton Grand Vacations are expected to create a compelling vacation ownership offering, enhancing the overall experience for members.
Alan Levan, Bluegreen’s Chairman and CEO, expressed pride in the Bluegreen team and confidence in the benefits of the merger with HGV. Mark Wang, President and CEO of Hilton Grand Vacations, also highlighted the strategic advantages of the merger, including a broader reach and diversified tour flow, which are expected to benefit all members and guests.
The Details of the Hilton Acquisition
Bluegreen Vacations, a prominent player in the vacation ownership industry, has agreed to be acquired by Hilton Grand Vacations (HGV). Under the merger terms, Bluegreen’s stockholders will receive $75.00 in cash for each Class A and Class B Common Stock share they hold. This all-cash transaction brings Bluegreen into the fold of Hilton Grand Vacations, a move expected to close in the first half of 2024, pending regulatory and shareholder approvals.
Founded in the 1970s by Alan B. Levan, Bluegreen has grown into a leading vacation ownership company. With headquarters in Boca Raton, Florida, Bluegreen boasts 49 Club Resorts and 24 Associate Resorts across various popular vacation destinations, including Orlando, Las Vegas, and the Smoky Mountains. The company has built a reputation for providing high-quality vacation experiences.
The Impact on Bluegreen Owners
The acquisition raises questions about the impact on Bluegreen’s current owners and members. Hilton Grand Vacations is a larger entity, boasting around 150 properties and 500,000 owners. The merger promises an expanded array of vacation opportunities. The combined company will have a membership base of over 740,000 owners and nearly 200 properties in its portfolio.
This merger means Bluegreen owners can access a broader range of destinations and enhanced vacation experiences. Hilton Grand Vacations has emphasized its commitment to maintaining the high level of service that Bluegreen owners are accustomed to. During the transition period, Bluegreen will continue to operate independently, ensuring that current owners can access their vacation ownership benefits without interruption.
What to Expect Moving Forward
The transition into Hilton Grand Vacations is set to bring several enhancements and opportunities for Bluegreen owners. HGV’s larger company structure, combined with Bluegreen’s established reputation, is anticipated to provide a more comprehensive and diverse vacation ownership experience. Owners can look forward to new vacation destinations and possibly new resort rebranding under the HGV family over a multi-year period.
While the acquisition process is underway, Bluegreen and Hilton Grand Vacations will continue to operate as separate entities. Owners will continue to access Bluegreen’s inventory as usual, and any changes to the reservation system or fee structure will be communicated post-acquisition. The focus remains on ensuring a smooth transition and continued high-quality service for all members.
