Hyatt Hotels Corporation (“Hyatt” or the “Company”) (NYSE: H), a
leading global hospitality company, announced today the pricing of
its public offering of $150,000,000 aggregate principal amount of
senior notes due 2029 (the “2029 Notes”), which will bear interest
at a fixed annual rate of 5.250% and $450,000,000 aggregate
principal amount of senior notes due 2031, which will bear interest
at a fixed annual rate of 5.375%.
The 2029 Notes will be a further issuance of the Company’s
5.250% senior notes due 2029, of which $450 million aggregate
principal amount was issued on June 17, 2024 (the “existing 2029
Notes”). The 2029 Notes will form a single series with the existing
2029 Notes and have the same terms, other than the initial offering
price and the issue date. Following the completion of the offering,
the Company will have $600,000,000 aggregate principal amount of
5.250% senior notes due 2029 outstanding.
The offering is expected to close on November 20, 2024, subject
to customary closing conditions.
The Company intends to use the net proceeds of the offering to
repay all of the Company’s 5.375% notes due 2025 at or prior to
their maturity on April 23, 2025 (the “2025 Notes”) and for general
corporate purposes, and to pay fees and expenses related to this
offering.
Wells Fargo Securities, LLC, Goldman Sachs & Co. LLC and
Truist Securities, Inc. are acting as representatives of the
underwriters and joint book-running managers for the offering.
The offering is being made pursuant to a shelf registration
statement on Form S-3, including a base prospectus, that was filed
by the Company with the Securities and Exchange Commission (the
“SEC”) and became automatically effective upon filing on August 30,
2023. A preliminary prospectus supplement and accompanying
prospectus relating to and describing the terms of the offering was
filed with the SEC and is available on the SEC’s website located at
www.sec.gov. Copies of the final prospectus supplement and the
accompanying prospectus relating to the securities being offered
may also be obtained by contacting: Wells Fargo Securities, LLC at
+1 800-645-3751, Goldman Sachs & Co. LLC at +1 866-471-2526,
and Truist Securities, Inc. at +1 800-685-4786.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy these securities, nor shall there
be any sale of these securities in any state or jurisdiction in
which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
About Hyatt Hotels Corporation
Hyatt Hotels Corporation, headquartered in Chicago, is a leading
global hospitality company guided by its purpose – to care for
people so they can be their best. As of September 30, 2024, the
Company’s portfolio included more than 1,350 hotels and
all-inclusive properties in 79 countries across six continents. The
Company’s offering includes brands in the Timeless Collection,
including Park Hyatt®, Grand Hyatt®, Hyatt
Regency®, Hyatt®, Hyatt Vacation Club®, Hyatt
Place®, Hyatt House®, Hyatt Studios, and
UrCove; the Boundless Collection, including Miraval®,
Alila®, Andaz®, Thompson Hotels®,
Dream® Hotels, Hyatt Centric®, and Caption
by Hyatt®; the Independent Collection, including The Unbound
Collection by Hyatt®, Destination by Hyatt®, and JdV
by Hyatt®; and the Inclusive Collection, including
Impression by Secrets, Hyatt Ziva®, Hyatt
Zilara®, Zoëtry® Wellness & Spa Resorts, Secrets®
Resorts & Spas, Breathless Resorts & Spas®,
Dreams® Resorts & Spas, Hyatt Vivid Hotels &
Resorts, Alua Hotels & Resorts®, and Sunscape®
Resorts & Spas. Subsidiaries of the Company operate the
World of Hyatt® loyalty program, ALG Vacations®, Mr & Mrs
Smith™, Unlimited Vacation Club®, Amstar DMC destination management
services, and Trisept Solutions® technology services. For more
information, please visit www.hyatt.com.
FORWARD-LOOKING STATEMENTS
Forward-Looking Statements in this press release, which are not
historical facts, are forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. These
statements include statements about the offering and the Company’s
intended use of proceeds from the offering, the Company’s plans,
strategies, outlook, financial performance, projections, financing
proposals, prospects or future events and involve known and unknown
risks that are difficult to predict. As a result, our actual
results, performance or achievements may differ materially from
those expressed or implied by these forward-looking statements. In
some cases, you can identify forward-looking statements by the use
of words such as “may,” “could,” “expect,” “intend,” “plan,”
“seek,” “anticipate,” “believe,” “estimate,” “predict,”
“potential,” “continue,” “likely,” “will,” “would” and variations
of these terms and similar expressions, or the negative of these
terms or similar expressions. Such forward-looking statements are
necessarily based upon estimates and assumptions that, while
considered reasonable by us and our management, are inherently
uncertain. Factors that may cause actual results to differ
materially from current expectations include, but are not limited
to: general economic uncertainty in key global markets and a
worsening of global economic conditions or low levels of economic
growth; the rate and pace of economic recovery following economic
downturns; global supply chain constraints and interruptions,
rising costs of construction-related labor and materials, and
increases in costs due to inflation or other factors that may not
be fully offset by increases in revenues in our business; risks
affecting the luxury, resort, and all-inclusive lodging segments;
levels of spending in business, leisure, and group segments, as
well as consumer confidence; declines in occupancy and average
daily rate; limited visibility with respect to future bookings;
loss of key personnel; domestic and international political and
geo-political conditions, including political or civil unrest or
changes in trade policy; hostilities, or fear of hostilities,
including future terrorist attacks, that affect travel;
travel-related accidents; natural or man-made disasters, weather
and climate-related events, such as earthquakes, tsunamis,
tornadoes, hurricanes, droughts, floods, wildfires, oil spills,
nuclear incidents, and global outbreaks of pandemics or contagious
diseases, or fear of such outbreaks; our ability to successfully
achieve certain levels of operating profits at hotels that have
performance tests or guarantees in favor of our third-party owners;
the impact of hotel renovations and redevelopments; risks
associated with our capital allocation plans, share repurchase
program, and dividend payments, including a reduction in, or
elimination or suspension of, repurchase activity or dividend
payments; the seasonal and cyclical nature of the real estate and
hospitality businesses; changes in distribution arrangements, such
as through internet travel intermediaries; changes in the tastes
and preferences of our customers; relationships with colleagues and
labor unions and changes in labor laws; the financial condition of,
and our relationships with, third-party owners, franchisees, and
hospitality venture partners; the possible inability of third-party
owners, franchisees, or development partners to access the capital
necessary to fund current operations or implement our plans for
growth; risks associated with potential acquisitions and
dispositions and our ability to successfully integrate completed
acquisitions with existing operations; failure to successfully
complete proposed transactions (including the failure to satisfy
closing conditions or obtain required approvals); our ability to
successfully execute our strategy to expand our management and
hotels services and franchising business; our ability to maintain
effective internal control over financial reporting and disclosure
controls and procedures; declines in the value of our real estate
assets; unforeseen terminations of our management and hotels
services or franchise agreements; changes in federal, state, local,
or foreign tax law; increases in interest rates, wages, and other
operating costs; foreign exchange rate fluctuations or currency
restructurings; risks associated with the introduction of new brand
concepts, including lack of acceptance of new brands or innovation;
general volatility of the capital markets and our ability to access
such markets; changes in the competitive environment in our
industry, industry consolidation, and the markets where we operate;
our ability to successfully grow the World of Hyatt loyalty program
and Unlimited Vacation Club paid membership program; cyber
incidents and information technology failures; outcomes of legal or
administrative proceedings; and violations of regulations or laws
related to our franchising business and licensing business and our
international operations; and other risks discussed in the
Company’s filings with the SEC, including our annual report on Form
10-K and quarterly reports on Form 10-Q, which filings are
available from the SEC. All forward-looking statements attributable
to us or persons acting on our behalf are expressly qualified in
their entirety by the cautionary statements set forth above. We
caution you not to place undue reliance on any forward-looking
statements, which are made only as of the date of this press
release. We do not undertake or assume any obligation to update
publicly any of these forward-looking statements to reflect actual
results, new information or future events, changes in assumptions
or changes in other factors affecting forward-looking statements,
except to the extent required by applicable law. If we update one
or more forward-looking statements, no inference should be drawn
that we will make additional updates with respect to those or other
forward-looking statements.
HHC-FIN
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version on businesswire.com: https://www.businesswire.com/news/home/20241118531653/en/
Hyatt Media Contact: Franziska Weber
franziska.weber@hyatt.com Hyatt Investor Contacts: Adam
Rohman adam.rohman@hyatt.com Ryan Nuckols
ryan.nuckols@hyatt.com
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