Originally published at www.seclive.com
Extended Stay America, a U.S. hotel chain that filed bankruptcy less than three years ago, will make an initial public offering, according to a regulatory statement filed by its owners. The company has yet to announce how many shares, what price range, and has not specified the intended offering date. Extended Stay is looking to raise up to $100M, however that could change. Now owned by Blackstone Group (NYSE:BX), Centerbridge Partners, and Paulson & Company, who bought the company for $3.9B in 2010, will use the proceeds from the offering to pay down its debt, which is $3.6B as of March 31. Last year Extended Stay reported $1B in revenues, a 7% increase from the year before. Joint bookrunners to the offering are Goldman Sachs (NYSE:GS), JPMorgan Chase (NYSE:JPM), and Deutsche Bank (NYSE:DB).
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.