Playa Hotels to pay down revolver with stock sale proceeds

New York, Jan. 6 – Playa Hotels & Resorts NV said it plans to repay the amount outstanding on its revolving credit facility with proceeds from a public offering of 35 million ordinary shares.

Proceeds will also be used for general corporate purposes, according to a news release.

The company announced Wednesday that it was offering 35 million ordinary shares, made up of 25 million to be sold by the company and 10 million by a fund affiliated with Sagicor Group Jamaica Ltd. Playa will not receive any proceeds from the sale by Sagicor.

Playa’s stock closed at $5.60 on Wednesday.

Deutsche Bank Securities, BofA Securities, Citigroup and Nomura are bookrunners for the offering.

Playa is a Fairfax, Va.-based owner, operator and developer of all-inclusive beach resorts in Mexico and the Caribbean.

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