Royal Caribbean Cruises (RCL.US) is reportedly close to acquiring a 50% stake in Sandals for nearly 3 billions USD, expanding into the all-inclusive land resort business.

Zhitong Finance APP has learned from a source familiar with the matter that Royal Caribbean Cruises (RCL.US) is close to reaching a $3 billion deal to acquire a 50% stake in Sandals. According to the source, the deal values the Caribbean resort chain at $6 billion and is expected to boost the growth of both companies. The source added that negotiations are ongoing and a deal may ultimately not be reached.

After reports emerged that the deal may materialize, Royal Caribbean Cruises’ stock price fell about 6% on Tuesday. The company’s shares have dropped about 25% over the past year, after it lowered its revenue growth forecast due to weakening demand on European routes.

The cruise company has been committed to diversifying beyond cruises to become a leader in the integrated resort sector. Royal Caribbean Cruises already operates several private destinations for its cruise passengers, yet has been focusing on expanding its land-based business.

Sandals and its Beaches brand have more than a dozen properties in the Caribbean, which would give Royal Caribbean a foothold in the “all-inclusive” sector.