On Thursday, Hilton Worldwide Holdings Inc. shares leaped in initial trading as the company returned to the market as the largest hotel IPO ever.
In 2007, the hotelier was taken private by the Blackstone Group. It returned as a publicly traded company on Thursday, raising $2.35 billion in its offering of 117.6 million shares at $20 each. That tops the total payoff of $2.1 billion generated by Twitter's IPO last month.
Hilton shares rose 7.5 percent to close at $21.50 on Thursday after growing as high as $21.91 earlier. Hilton's market capitalization of about $20 billion is well above that of other hoteliers following the offering. Marriott International and Starwood Hotels & Resorts Worldwide Inc. each have market capitalizations of $13.8 billion as of the close of trading Wednesday.
With 665,667 rooms across 90 countries and territories, Hilton is the world's largest hotel group. It operates luxury brands such as the Waldorf Astoria and Conrad Hotels & Resorts but has built much of its recent growth on franchise deals.
Some other brands under the Hilton umbrella are Double Tree, Embassy Suites and Hampton Inn, along with different types of hotels directly bearing the Hilton name.
Brittany Sawyer, a spokesperson for the Metro Tulsa Hotel & Lodging Association, said the company's move is a reminder that hotels are gaining business nationally and locally.
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