Hilton IPO Goes For Record $2.4B Public Offering

Array

Hilton Worldwide Holdings Incorporated, the lodging chain owned by Blackstone Group LP since 2007, has plans to gain upwards of $2.4 billion in its U.S. public offering, which will be the most ever raised for a hotel company.

The hotel operator out of McLean, Virginia and existing shareholders plan to sell 112.8 million shares for $18 to $21 each, according to a regulatory filing on December 2nd. Hilton is the world’s largest hotel company, with over 4,000 properties and intends to sell $64.1 million of the total and use the proceeds toward $1.25 billion of debt. Blackstone is not selling any of its stock in the company. The decision of Blackstone to take Hilton public came after the hotel chain refinanced around $13 billion of debt. Capitalizing on a rebound in hotel occupancies and rates, Hilton plans to continue their positive growth from Chief Executive Officer Christopher Nassetta.

In the past 6 years, Nassetta increased the number of Hilton’s open rooms by 34 percent, and expanded the development pipeline and frequent-guest program. After meeting with potential investors in multiple cities across the United States for the past few weeks, the IPO is to be set on Dec. 12th.

To learn more about the Haute Hotel Network, check us out on Facebook!

Photo courtesy of: commons.wikimedia.org

Hotel Profiles