Re. GND: #reply-7059805
I must admit that this spin-off business is confusing the heck out of me. But it sure looks profitable, thus far!
Hilton Hotels Corp.
Dow Jones Newswires -- December 31, 1998
Hilton Hotels Closes Spinoff Of Gaming Operations
BEVERLY HILLS, Calif. (Dow Jones)--Hilton Hotels Corp. (HLT) completed the spinoff of its gaming and lodging businesses.
In a press release Thursday, Hilton said the resulting new company, Park Place Entertainment Corp. (PPE), concurrently acquired the three Mississippi gaming operations of Grand Casinos Inc. (GND).
In the Grand merger, Park Place assumed $565 million of debt and issued shares of Park Place to Grand shareholders in a ratio of one share of Park Place for each share of Grand.
About 260.8 million shares of Park Place will be distributed to Hilton shareholders in the spinoff, and an additional 42.3 million shares of Park Place will be issued to Grand shareholders.
Park Place named Stephen F. Bollenbach chairman. He remains president and chief executive of Hilton Hotels.
Arthur Goldberg, currently president-gaming operations for Hilton Hotels, was named president and chief executive and a director of Park Place Entertainment. He remains on Hilton's board. Additionally, Lyle Berman, current chairman of Grand Casinos, joined the board of Park Place. |
