Hilton is expected to launch its initial public offering this month and the sale of about 11.5 per cent of its shares would value the company at up to $32.5bn, including debt. Blackstone took Hilton private in 2007 for $26.7bn, including debt, in one of the largest leveraged buyouts before the 2008 global financial crisis.
Blackstone has invested about $6.8bn in Hilton and its 76.2 per cent stake after the IPO will be worth up to $15.7bn. It is not selling any shares in the offering.
“The Blackstone Group has timed the Hilton IPO at the perfect market inflection points of increasing global consumer travel demand, daily room rates, and occupancy,” said Christopher Muller, a professor at Boston University.
Hilton is planning a five-star hotel in Yorkshire, close to the new Leeds Arena.