New York, July 3 - Hilton Hotels Corp. said it will be acquired by Blackstone Group for $26 billion.
Shareholders will receive $47.50 per share, a 40% premium over Monday's close.
The transaction has been approved by Hilton's board. A special shareholders meeting will be scheduled. Closing is expected in the fourth quarter.
Beverly Hills, Calif.-based Hilton noted that Blackstone already owns more than 100,000 hotel rooms in the United States and Europe, ranging from limited service properties such as La Quinta Inns and Suites to LXR Luxury Resorts and Hotels.
Blackstone said it views Hilton as an important strategic investment; no significant divestitures are envisaged.
Financing commitments have been provided by Bear Stearns, Bank of America, Deutsche Bank, Morgan Stanley and Goldman Sachs.
| Target: | Hilton Hotels Corp.
|
| Acquirer: | Blackstone Group
|
| Price: | $26 billion
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| Price per share: | $47.50
|
| Expected closing: | Fourth quarter
|
| Target stock: | NYSE: HLT, $36.05 at close, July 3
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