DOUBLETREE PLANS TO BUY RENAISSANCE.Byline: Associated Press Associated Press: see news agency. Associated Press (AP) Cooperative news agency, the oldest and largest in the U.S. and long the largest in the world. Bolstering its standing as a leading hotel chain, Doubletree dou·ble·tree n. A crossbar on a wagon or carriage to which two whiffletrees are attached for harnessing two animals abreast. Noun 1. Corp. said Tuesday it had agreed in principle to buy Renaissance Hotel Group in a stock and cash deal worth about $850 million. Doubletree recently acquired Red Lion Red Lion may refer to:
Hong Kong-based Renaissance owns, manages and franchises hotels. Terms of Tuesday's agreement call for Doubletree to pay $8 in cash and 0.4105 per common share for each Renaissance share. The deal values Renaissance at $25.30 a share. Renaissance stock jumped $7.12-1/2 a share to close at $23.50 in trading on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. . Doubletree was down $2.50 at $45. Officials for Doubletree and Renaissance could not immediately be reached for comment. The recent acquisition of Red Lion Hotels extended Doubletree's reach, giving it hotels with some 56,000 rooms in 39 states, the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). and Mexico. Under the latest deal, New World Group, which owns about 54.4 percent of Renaissance's outstanding shares, said it will tender its shares under the proposed offer and vote its shares in favor of the proposed transaction. If either party cancels the deal, it must pay a $50 million fee. |
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