Hilton to Sell Hotel Division for £3.3 Billion

Hilton Group has agreed to sell its hotels division, Hilton International, to Hilton Hotels Corporation for £3.3 billion. The move, described as a “logical step” by HHC, follows the recent sale by Hilton Group of 16 UK properties for almost £400 million.

The deal will again unite the Hilton brand in the US with more than 260 Hilton properties in the rest of the world.

HHC initially branched out Hilton International as an independent business in 1964 with HHC retaining exclusive rights to the brand in the US with Hilton International possessing exclusive rights throughout the rest of the world.

Hilton Hotels Corporation chairman Stephen Bollenbach said “this transition represents the final and logical step in a process that began in 1997 with the signing of a strategic alliance between HHC and Hilton International as a global lodging industry.”

Hilton International comprises 402 hotels in 80 countries, 226 of which are branded Hilton, 37 Hilton Worldwide Resorts and 139 under the mid-market Scandic brand.

The division contributed £154.4 million towards Hilton Group´s 2004 profit before finance and tax of £417.1 million.