Transat A.T. Inc. entered into a sale and purchase agreement for its land property located in Puerto Morelos, Mexico, for US$38 million to Finest Resorts, a luxury resort group, part of The Excellence Collection. Finest Resorts owns and operates Finest Playa Mujeres, in Cancun, Mexico, and Finest Punta Cana, in Dominican Republic.
The closing of the transaction is expected to occur in Transat's fourth quarter.
The proceeds of the sale will be used to immediately repay a portion of the Corporation's secured facilities.
The divestiture of the land is aligned with Transat's strategic plan to refocus on its airline activities. It should be recalled that the Corporation had announced in 2018 the purchase of the land as part of the development of a hotel subsidiary, for which the activities were discontinued in 2021.
Founded in Montreal 35 years ago, Transat has achieved worldwide recognition as a provider of holiday travel particularly as an airline under the Air Transat brand.