You are here: Home » Reuters » News
Business Standard

China's HNA to sell 25 percent stake in Hilton Grand Vacations

Reuters 

(Reuters) - Chinese conglomerate will sell its 25 percent stake in Grand Vacations Inc , the timeshare spun off last year from chain Worldwide , Grand said on Tuesday.

The sale is the latest attempt by HNA, an aviation-to-financial services conglomerate, to restructure its far-flung operations and raise cash by selling equity and

Its restructuring drive also follows a $50 billion acquisition spree over the past two years, which has sparked scrutiny of its opaque ownership and use of leverage.

HNA's has resigned from Vacations' board, while the Chinese firm has asked Yasheng Huang, its designated at Hilton, to also step down.

HNA bought a 25 percent stake in from in 2016. Thanks to that deal, the conglomerate built similar stakes in Hilton's two spun-off units - Park & Resorts and

Park disclosed earlier this month that HNA planned to sell some or all of its 25 percent stake in Park.

HNA will sell its stake through a stock offering of 24.8 million shares, which were worth around $1.1 billion at the stock's Tuesday closing price of $45.80. Hilton Grand shares fell 1.7 percent to $45 in after-hours trading.

The offering is expected to be priced on Wednesday after U.S. markets close, according to joint book-runners BofA Merrill Lynch and

Hilton Grand has an option to buy back up to 4.34 million shares owned by HNA.

(Reporting by and in Bengaluru; Additional reporting by in New York; Editing by Sai Sachin Ravikumar)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Wed, March 14 2018. 02:45 IST
RECOMMENDED FOR YOU