Loan & DebtMay 11, 2026, 05:16 PM
Hilton Subsidiary Issues $1B Senior Notes at 5.500% Due 2031
AI Summary
Hilton Domestic Operating Company Inc., an indirect subsidiary of Hilton Worldwide Holdings Inc., issued $1 billion aggregate principal amount of 5.500% Senior Notes due 2031. The Notes were issued at par, with interest payable semi-annually, and mature on September 15, 2031. The net proceeds from the offering were primarily used to repay $450 million of borrowings under the Issuer's senior secured revolving credit facility, with the remainder allocated for general corporate purposes. The Notes are senior unsecured obligations and are guaranteed by Hilton Worldwide Holdings Inc. and other subsidiaries.
Key Highlights
- Hilton Domestic Operating Company Inc. issued $1 billion aggregate principal amount of 5.500% Senior Notes due 2031.
- Interest on the Notes is payable semi-annually on May 15 and November 15, starting November 15, 2026.
- The Notes mature on September 15, 2031.
- Net proceeds were used to repay $450 million of borrowings under the senior secured revolving credit facility.
- The remaining proceeds are allocated for general corporate purposes.
- The Notes are guaranteed by Hilton Worldwide Holdings Inc. and its direct parent company, Hilton Worldwide Parent LLC.
- The Issuer may redeem Notes prior to May 15, 2028, at 100% plus make-whole premium.
- Beginning May 15, 2028, redemption prices decrease from 102.750% to 100.000% by May 15, 2030.