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Marriott's $12.2 Billion for Starwood Signals More Deals to Come

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Marriott International Inc.’s agreement to buy Starwood Hotels & Resorts Worldwide Inc. in a $12.2 billion deal, creating the world’s largest lodging company, signals more consolidation to come as hotel operators find being bigger is better to compete with each other and such upstarts as Airbnb Inc. Marriott offered to pay $2 a share in cash and 0.92 of its own stock for Stamford, Connecticut-based Starwood, the companies said in a statement on Monday. The combined company will operate or franchise more than 5,500 hotels with 1.1 million rooms worldwide. Scale is becoming increasingly important in the hospitality business as Airbnb siphons off travelers and online booking services eat...

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