Squaw-Alpine parent company buys Intrawest Resorts

A newly formed entity controlled by ski resort operator Aspen Skiing Company, LLC and private equity firm KSL Capital Partners, owners of Squaw Valley/Alpine Meadows, will buy Intrawest Resorts Holdings for about $1.5 billion including debt, it was announced Monday.

Intrawest Resorts Holdings, Inc. (NYSE: SNOW) is a leading North American mountain resort and adventure company.

While not a condition to the merger, Squaw Valley Ski Holdings, the parent company of Squaw Valley /Alpine Meadows and an affiliate of KSL, will also become part of the entity at closing, but continue to operate under its current management, according to an April 10 press release.

“Intrawest is a collection of remarkable properties in exceptional locations. Each has its own unique story and its own unique sense of place,” said Eric Resnick, chief executive officer of KSL. “We are committed to honoring the deep traditions of each resort, while working with Intrawest’s talented management team and employees to continue to serve both their guests and local communities.”

For the full 2017-18 winter season, each Intrawest resort will continue to honor the resort’s existing pass products that are currently on sale, including the Rocky Mountain Super Pass + and the M.A.X. Pass.

"This transaction creates significant opportunity for Intrawest and delivers tremendous value to our current shareholders,” said Thomas Marano, Intrawest’s chief executive officer. “The cash consideration of $23.75 per share represents a 40% premium over $16.97 per share, Intrawest’s closing stock price on January 12, 2017, the trading day prior to Reuters’ report speculating that the Company was exploring a potential sale. We are excited to work with Aspen and KSL. Our new partners bring additional financial resources and a shared passion for the mountains and our mountain communities. Both Aspen and KSL are committed to helping Intrawest accelerate our plans to bring more value to our guests, more opportunities for our employees and more investment into our local communities.”

The transaction was unanimously approved by the board of directors of Intrawest. Following the execution of the merger agreement, stockholders representing a majority of the voting shares of Intrawest delivered a written consent approving and adopting the merger agreement. The transaction is expected to close by the end of the third quarter of calendar year 2017 and is subject to certain closing conditions including regulatory approvals.

Intrawest Holdings:

Blue Mountain, Ontario
Snowshoe Mountain, West Virginia
Steamboat Ski Area, Colorado
Stratton Mountain Resort, Vermont
Mont Tremblant Resort, Quebec
Canadian Mountain Holidays, Alberta
Winter Park, Colorado
Zihuatanejo, Mexico

KSL Private Equity Control Oriented Investments:

The Belfry
Cameron House
East West Partners
Monarch Beach Resort
Outrigger Hotels and Resorts
Squaw Valley / Alpine Meadows
Village Hotel Club
WellBiz Brands, Inc.

KSL Realized Control Oriented Investments:

Barton Creek Resort & Spa
The Bay Club Company
ClubCorp
The Grove Park Inn
The Homestead
The James Royal Palm
La Costa Resort and Spa
Malmaison and Hotel du Vin
Miraval Resort & Spa
Montelucia Resort & Spa
Orion Expedition Cruises
Rancho Las Palmas Resort & Spa

KSL Capital Partners, LLC is a private equity firm specializing in travel and leisure enterprises in five primary sectors: hospitality, recreation, clubs, real estate and travel services. KSL has offices in Denver, Colorado; Stamford, Connecticut; and London. Since 2005, KSL has raised approximately $7.5 billion in equity capital commitments. KSL's current portfolio includes some of the premier properties in travel and leisure.

- South Tahoe Now Staff Report