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Hilton IPO valuation doubles to £2.25bn

Hilton Worldwide is reported to have almost doubled the amount of money it will seek to raise in an initial public offering to $2.25 billion


The deal will be the largest ever IPO by a hotel company if it is successful, according to the Financial Times.


The company, backed by private equity giant Blackstone, has publicly said it aims to raise $1.25 billion from a listing.


But the FT reported people close to the matter as saying the increased size of the offering will allow preferred stockholders to sell $1 billion of their shares.


The deal size may increase further amid greater interest in hotel groups from investors, they said.


Blackstone, which acquired the company in 2007 for $26 billion in one of the largest ever buyouts, is taking advantage of a rally in hotel stocks as well as a rebound in room rates, occupancy levels and business travel.

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