HNA to sell stake in Park Hotels for $1.24B

Hotel operator to buy back some shares

New York /
Mar.March 07, 2018 11:50 AM

Chen Feng and New York Hilton Midtown (Credit: Getty Images and Hilton)

HNA Group’s selling spree continues. The Chinese conglomerate officially put most of its stake in Hilton spinoff Park Hotels & Resorts up for sale on Tuesday and stands to make $1.24 billion.

The Chinese conglomerate is looking to sell 34.5 million shares at $25.75 each, or about $888 million in total, Park Hotels said in a statement. The secondary offering is expected to close March 9. Meanwhile, Park Hotels is buying back another 14 million shares from HNA at $24.85 each, or around $348 million.

HNA previously owned 53.7 million shares in the hotel company after buying a 25 percent stake in Hilton Worldwide Holdings and its spinoffs last year.

The Chinese company is struggling under a $90 billion mountain of debt and is looking to save itself by selling assets. It recently sold its office tower 1180 Sixth Avenue for $305 million and is trying to get rid of 245 Park Avenue, which it bought for $2.21 billion in May, as well.

The Real Deal broke down HNA’s sudden fall from grace in its March issue.  — Konrad Putzier


Related Articles

arrow_forward_ios
From left: McSam Hotel Group's Sam Chang and SL Green's Marc Holliday with 711 Seventh Avenue  (Getty, Google Mpas, SL Green)
Times Square hotel developer sues neighbors over delayed demolition
Times Square hotel developer sues neighbors over delayed demolition
Napa Valley hot-air-balloon business lists for $12M
Napa Valley hot-air-balloon business lists for $12M
Napa Valley hot-air-balloon business lists for $12M
A photo illustration of the proposed Lower Platte River Corridor (Getty, Plan Preserve Play NE)
Nebraska lawmakers mull digging $1B recreation lake
Nebraska lawmakers mull digging $1B recreation lake
Illustration of Stefan Soloviev (HaydenSoloviev, CC BY-SA 4.0, via Wikimedia Commons, Getty)
Soloviev bets long-dormant Midtown East site in casino sweepstakes
Soloviev bets long-dormant Midtown East site in casino sweepstakes
CHIP's Jay Martin and HCR Commissioner RuthAnne Visnauskas (Getty)
Lies, damn lies, and statistics: Did rent-stabilized vacancies really fall?
Lies, damn lies, and statistics: Did rent-stabilized vacancies really fall?
PulteGroup's Ryan R. Marshall and RedFin's Glenn Kelman (PulteGroup, RedFin, Getty)
Wall Street is bidding up housing stocks again
Wall Street is bidding up housing stocks again
Empire Capital Holdings' Josh Rahmani, Hakimian Capital's Michael Hakimian, RXR's Scott Rechler and 1330 6th Avenue (Getty, Hakimian Capital, Empire Capital Holdings, 1330aofa.com)
Empire Capital, partners close on $320M deal for 1330 Sixth Ave
Empire Capital, partners close on $320M deal for 1330 Sixth Ave
Urban Commons' Salvatore G. Takoushian with Wagner at the Battery
Urban Commons puts FiDi hotel into bankruptcy
Urban Commons puts FiDi hotel into bankruptcy
arrow_forward_ios

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

Loading...