The Blackstone Group, New York, has agreed to acquire Prime Hospitality Corp., Fairfield, N.J., for $12.25 per share, a 42% premium to its closing price on Aug. 18.Including debt, the total value of the transaction is over $790 million. Of the 256 hotels it operates and franchises, Prime owns 112. As part of the deal, Prime will start a tender offer for $178.7 million of senior subordinated notes outstanding. Bear Stearns & Co. served as Prime's financial advisor, while Banc of America Securities did the same for Blackstone. Bank of America's CMBS Capital Markets Group is providing the acquisition financing.
Blackstone to Acquire Prime Hospitality
August 19, 2004, 2:00 p.m. EDT 1 Min Read
