Hilton goes public with $20-per-share IPO

TRD New York /
Dec.December 12, 2013 09:53 AM

Hotel conglomerate Hilton Worldwide, one of the largest companies to go private (in a $26 billion deal with the Blackstone Group in 2007), has now also become one of the largest to go public.

The company’s initial public offering Wednesday was priced at $20 per share, right around the projected range. The price point gave the company an equity value of around $19.7 billion, and Hilton raised almost $2.4 billion from the sale of 117.6 shares, topping the company’s previously reported $2.25 billion goal.

Blackstone paid $26 billion for Hilton in 2007 in one of the largest leveraged buyouts at the time, but the company’s struggle deepened during the recession. Blackstone negotiated with Hilton’s creditors to pare down its debt, and eventually saw adjusted profits rising 14 percent in the first nine months of 2013.

Blackstone plans to remain a significant shareholder in the company and is expected to retain a 76 percent stake, the New York Times reported. [NYT]Julie Strickland


Related Articles

arrow_forward_ios
Blackstone's president Jonathan Gray and CEO Stephen Schwarzman (Credit: Gray via Drew Angerer/Getty Images; Schwarzman via Himanshu Bhatt/NurPhoto via Getty Images)

Blackstone: “We don’t need financing to get things done”

Blackstone: “We don’t need financing to get things done”
Blackstone’s Jonathan Gray and Starwood Capital Group’s Barry Sternlicht (Credit: Gray by  Drew Angerer/Getty Images; Sternlicht by Cindy Ord/Getty Images for 1 Hotels)

Blackstone, Starwood pick up stakes in Extended Stay America

Blackstone, Starwood pick up stakes in Extended Stay America
Clockwise from bottom left: 62-60 99th Street in Rego Park, 850-870 Third Avenue in Sunset Park and Square Mile Capital’s Craig Solomon with renderings of 550 Clinton Avenue in Brooklyn (Credit: Google Maps; Getty Images; Morris Adjmi Architects)

These were the top outer borough loans last month

These were the top outer borough loans last month
Blackstone's Jonathan Gray, Gaedeke Group's Sabine Gaedeke Stener and 44 Wall Street (Credit: Stener by Gaedeke Group; Gray by Drew Angerer/Getty Images, 44 Wall Street via Google Maps)

Blackstone sells office tower at 44 Wall Street for $200M

Blackstone sells office tower at 44 Wall Street for $200M
Brookfield Property Group’s Brian Kingston, Blackstone Group's Jonathan Gray and 1 Liberty Plaza (Credit: Google Maps)

Brookfield, Blackstone consider One Liberty Plaza sale

Brookfield, Blackstone consider One Liberty Plaza sale
Survivors accused Hilton, Marriott, Wyndham and others of knowing about sex trafficking on the property and still financially benefitting (Credit: Wikipedia Commons, iStock)

Major hotel chains named in sex trafficking lawsuits

Major hotel chains named in sex trafficking lawsuits
Beverly Hills’ Waldorf Astoria planted a mole inside the Peninsula to steal clients, lawsuit says

Beverly Hills’ Waldorf Astoria planted a mole inside the Peninsula to steal clients, lawsuit says

Beverly Hills’ Waldorf Astoria planted a mole inside the Peninsula to steal clients, lawsuit says
Liberty View Plaza at 850 3rd Avenue and Marvin Schein (inset) (Photo by Axel Dupeux)

City lets Salmar bring office tenants to Brooklyn industrial property

City lets Salmar bring office tenants to Brooklyn industrial property
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...