Hilton Hotels Corp., the chain founded by Conrad Hilton 88 years ago, agreed to be purchased by buyout firm Blackstone Group LP for about $20 billion, the biggest acquisition of a hotel company.
Blackstone will pay Hilton investors $47.50 for each of their shares, the hotel chain said in a statement today. That’s 32 percent more than its closing price today. Barron Hilton, Conrad’s son and co-chairman of the company, will get $990 million for his 20.8 million shares.
Hilton, the second-biggest U.S. chain behind Marriott International Inc., has more than 2,800 hotels worldwide. Blackstone, which owns the La Quinta chain, is among private- equity firms that are buying hotel companies to profit from their cash flow and real estate holdings. (Bloomberg)
Join the official YWN WhatsApp status
One Response
I wonder if they’re putting some of the 8 billion they got from Lightstone for Extended Stay Hotels as the down payment! Maybe the two ought to merge and become ‘Black and Light Stone’! Any other suggestions 4 a name?