Blackstone's Hilton Files for $1.25 Billion IPO
Sep 12, 2013, 6:39 am
#1
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Sep 12, 2013, 8:37 am
#2
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Makes the Hilton Honors devaluation clearer
Well that definitely makes sense now that they have cut their liabilities side of the equation with the devaluation of HHonors. Makes their balance sheet look a whole lot better for the IPO. Too bad it may hurt the public company with rooms later on.....
Sep 12, 2013, 11:11 am
#6
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No, thread title is fine. IPO is to raise $1.25b, just like the headline says. Hilton was acquired for $26b and could possibly be valued at $30b today, says Bloomberg. That's not a very good ROI for Blackstone in seven years, even given the financial crisis. No wonder they're knocking the hell out of HHonors to try to polish up the balance sheet.
Sep 12, 2013, 12:36 pm
#7
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Sep 12, 2013, 12:44 pm
#8
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Sep 13, 2013, 2:12 pm
#10
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Has anyone ever seen the value of outstanding Hhonors points? Corporate Hilton's liability? I can't believe it moves the needle at this level.
Sep 13, 2013, 2:22 pm
#11
Join Date: Oct 2010
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As a public company, such costs will be shown in the financial statement, management will be under constant pressure to show continued financial performance. Marketing/loyalty program expenses are vulnerable when the numbers come up short, as AMEX did earlier this year.