Blackstone Acquires Prime Hospitality for $790M, $12.25 per Share

Prime Hospitality Corp. has agreed to be acquired by affiliates of The Blackstone Group for $12.25 per share, a 42% premium to the closing price. The total value of the transaction, including debt, is over $790 million. Prime Hospitality operates and franchises 256 hotels with 33,605 rooms, and owns 112 hotels with 14,183 rooms. The acquisition is expected to be completed during Q4 2004.