Chinese HNA Group To Buy 25% Stake In Hilton (HLT)
Author By Sophia VidaPosted on Hilton Worldwide Holdings Inc. shares saw a slight increase in morning trading after it was announced that Chinese conglomerate HNA Group plans to buy around a 25% stake in the company from Blackstone Group LP for $6.5 billion.
In the deal, HNA will pay Blackstone $26.25 a share in cash for the stake, a 15% premium to Hilton’s closing price of $22.91 on Friday. Under these teams, Blackstone’s interest in Hilton will be reduced 21%.
Under the terms, HNA will also be allowed to appoint two directors, one HNA member and one independent member, to Hilton’s Board of Directors. Blackstone will keep two seats on Hilton’s board.
Disclaimer: We have no position in Hilton Hotels Corporation Common Stock (NYSE: HLT) nor Blackstone Group LP (NYSE: BX) and have not been compensated for this article.
){kind=link}