La Quinta files paperwork for IPO
La Quinta Holdings Inc., operator of its namesake hotel chain, filed regulatory paperwork Monday to take the company public.
The hotel operator was founded in San Antonio, Texas, in 1968 and operated as a publicly traded company for more than 30 years before it was acquired by The Blackstone Group in 2006.
La Quinta has not yet specified the size or timing of its offering but said that Blackstone will continue to own a majority of the company following the IPO.
The company has 836 hotels located across North America, of which more than half are franchised. It also has a pipeline of 175 franchise hotels planned for openings in North America, Colombia and Honduras.
La Quinta earned $8.6 million on revenue of $673.4 million in the first nine months of 2013, according to its filing with the U.S. Securities and Exchange Commission. That is down from profit of $46.2 million in the first nine months of 2012. Its total revenue increased nearly 7 percent to $673.4 million.
The company said it intends to use the proceeds to repay debt and any remaining money will be used for general corporate purposes.