Demeure Acquisition of Ultimate Escapes Finalized

By: Destination Club News
Date: November 19, 2010

For the past several weeks, Demeure has been pulled in two directions: publicly engaging former Ultimate Escapes members about their unique travel community and behind the scenes with CapitalSource regarding the acquisition of Ultimate Escapes in the legal arena. Yesterday, the club announced that they have completed one of those tasks as they reached an agreement with CapitalSource to amend the asset purchase agreement and waive select closing conditions.

"We will be proceeding with the purchase of all original assets listed in the court approved Asset Purchase Agreement. The Purchase Agreement also includes intellectual property and other critical Ultimate Escapes assets," Demeure wrote to Ultimate Escapes members. "We will also be offering employment to Ultimate Escapes employees commencing on November 24th. This removes the uncertainty of the original bid and is a big step forward to getting back to what we're here to do: offer great travel around the world at a great price."

"To date, we have been operating within strict and inflexible bankruptcy and court restrictions of the UE bankruptcy process. Having satisfied the terms of the original asset purchase agreement, we now look forward to welcoming you into the Demeure community. There was an understandable reluctance by some members prior to the announcement of the escrow agreement but with that demonstration of security we're happy to report that members are confirming every day. With this welcomed certainty, the Thanksgiving holiday season and the significant interest in the property purchase program we would like to take some of the timing pressure off and set the date for the of return your documents and payments to December 3rd, 2010."

"CRG is pleased that the conditions to close on November 24th have been waived and that CapitalSource Bank continues to work cooperatively with Demeure to reach a successful result based on the current number of property purchase inquiries," Stephen Gray of CRG Partners added.

With one major obstacle down, Demeure has told us that they are rededicating themselves to their outreach program to answer each and every question from Ultimate Escapes members and get them back to traveling. "We're sure members really want a financially stable club that provides great travel," Carolyn Ellis, the club's Director of Customer Experience told us. "We're getting down to business: great trips, great club, great people, great members, making memories." Demeure has laid out a timeline of upcoming events that we will detail tomorrow, so check back soon for more information about the Ultimate Escapes acquisition and Demeure's upcoming plans.