The common stock share price hasn't been disclosed. The IPO event would list CNL Hospitality on the New York Stock Exchange for the first time and make its stock easier to trade. The stock currently is bought and sold through a selected brokers and dealers network.
Leading up to the IPO was CNL Hospitality's decision to buy out its outside advisor, CNL Hospitality Corp. Shareholders approved that move at the company's annual meeting July 30. The 100,000-member Hotel Employees and Restaurant Employees International Union opposed the merger with the advisor. The company's new name, after the IPO, will be CNL Hotels & Resorts Inc.
Thomas J. Hutchison III, CEO of CNL Hospitality Properties Inc., calls his company the second largest hotel REIT in the US with a portfolio of 32,500 rooms in 136 hotels in 37 states and Canada, boasting 19 nationally recognized brands. Hutchison values the portfolio at "more than $6 billion."
Host Marriott Corp. of Bethesda, MD is considered in the industry as the largest hotel REIT with second-quarter reported revenue of $1.73 billion. Host Marriott has 113 hotels in the US, Canada and Mexico.
CNL Hospitality has added three directors to its nine-director board. The new members are Dianna Morgan of Windermere, FL, a retired Walt Disney World division executive; former US Congressman Jack Kempt of Bethesda, MD; and James D. Holladay of New York, a former Goldman Sachs investment banker.
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