Hilton to Trade Biggest-Ever Hotel IPO
The nearly century-old Hilton, the world’s largest hotel enterprise, plans to start trading on the New York Stock Exchange next week under the symbol HLT.
By Lynn Armitage, Contributing Writer
The nearly century-old Hilton, the world’s largest hotel enterprise, plans to start trading on the New York Stock Exchange next week under the symbol HLT, according to a marketing source.
The IPO of 112.8 million shares, which will sell for about $18 to $21 each based on the regulatory filing yesterday, could bring in as much as $2.4 billion for the lodging giant, making what Bloomberg News reports will be the largest public offering for any hotel — surpassing Hyatt’s $1.09 billion sale in November 2009.
Blackstone Group bought the hotel chain in 2007 for $26 billion and according to the filing, all of the proceeds from the stock deal will be used to pay off the $1.2 billion debt incurred from the buyout.
Since the first hotel was bought in 1919 by its founder and namesake, Conrad Hilton, the company has grown to more than 4,000 properties worldwide, including 10 well-respected brands in 90 countries, such as Waldorf Astoria, DoubleTree, Homewood Suites and Hampton Inn.
Bloomberg reports that Hilton executives will start shopping for investors today and into next week.
CPE reported earlier in November about what taking the hotel giant public would mean for the industry.
