Hedge Fund Hires Head of Hilton

Filed in archive Hedgetalk on October 30, 2007

Hilton Hotels Corporation and Blackstone Group announced the completion of their merger last week and are now expected to name Host chief executive of Hotels & Resorts Inc Christopher Nassetta as president and CEO, according to the Wall Street Journal.

The Merger has been financed with $20.6 billion of mortgage and mezzanine debt financing and approximately $5.7 billion of equity invested by hedge funds affiliated with The Blackstone Group. As part of his new responsibilities, Nassetta will build up Hilton's luxury lines, aiming to "marry" the hotel's numerous lines, including embassy suites, Doubletree and Hampton Inn, with many of Blackstone's own hotels.

Acquisition financing was provided by Bear Stearns, Bank of America, Deutsche Bank, Goldman Sachs, Lehman Brothers, Merrill Lynch and Morgan Stanley. Hilton Hotels Corporation is the leading global hospitality company, with 2,896 properties totaling approximately 490,000 rooms in 76 countries and territories.

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