News | Jul 3, 2007 | 0 Comments

Blackstone Buying Hilton, New Hotel Leader

The Blackstone Group LP (Symbol: BX) is about to become the world’s largest hotel owner. On July 3rd, it was announced that Hilton Hotels Corp (Symbol: HLT) agreed to an all-cash buyout.

In the deal, valued at $26 billion, Blackstone will purchase all of Hilton’s outstanding shares for $47.50 each. On a shortened trading day Tuesday, Hilton’s stock closed at $36.05 per share—up $2.18 on the day.

Blackstone’s stock nudged up slightly to $29.72—a 45-cent increase on the news.

If Hilton shareholders approve the all-cash deal, it will close in the fourth quarter of this year. Given the significant premium, it’s expected to gain approval.

Currently, Blackstone owns more than 100,000 hotel rooms in the United States and Europe. Once the deal closes Blackstone will own or operate more than 580,000 hotel rooms in 76 countries and territories.

Author: Jason A. Martin

My name is Jason A. Martin. I'm an investor/trader and financial writer. This is my blog. I also run a site dedicated to currency trading at CapitalistNation.com. If you'd like to follow me on twitter, here's the link: Jason A. Martin If you need financial content (articles, newsletters, eBooks, etc) for your site, publication and/or business, go to FinancialWriter.org (my service) for more details.

Enjoyed this Post? Share it!

Share on Facebook Tweet This!

Leave a Reply