Blackstone pays $26 billion for Hilton Hotels

The US investment firm Blackstone Group LP agreed to buy the world biggest hotel chain with nearly 2,800 hotels in 76 countries.

Hilton, was founded in 1919, is one of the world's largest
hotel chains. Besides the Hilton Hotels, the company also owns and operates the
Conrad Hotels and Resorts, Doubletree Clubs and Hotels, Embassy Suites Hotels,
Hampton Inns and the Waldorf-Astoria Collection. It employs 150,000 people and
recorded sales last year of $8.2 billion and profits of $572 million, up 24%
from the year before. Blackstone is one of the world's largest private
investment firms and last month listed on the New York Stock Exchange, raising
$4.13 billion in the floating of a 13.2% stake of the company.

Its deal to buy Hilton comes at a time when private equity
firms are closing larger and larger takeovers and bringing in record amounts of
capital. Blackstone is one of the most active US real estate investors and
already controls more than 100,000 hotel rooms in the United States and Europe,
owning such chains as La Quinta Inns and Suites and the LXR Luxury Resorts and
Hotels. Hilton's board has already approved the deal, but its must still get
the green light from shareholders and regulators.