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Simpson Thacher Represents Underwriters and Lead Arrangers in $2.7 Billion Acquisition Financing by Hyatt

03.31.25

Simpson Thacher represented the underwriters in a registered public offering by Hyatt Hotels Corporation (“Hyatt”) of $500 million aggregate principal amount of additional 5.050% Senior Notes due 2028 and $500 million aggregate principal amount of 5.750% Senior Notes due 2032. Hyatt intends to use the net proceeds from the offering to fund a portion of the purchase price for its previously announced acquisition of Playa Hotels & Resorts N.V., and to pay fees and expenses related to the offering. Simpson Thacher also represented the Joint Lead Arrangers, Joint Bookrunners and Initial Lenders in connection with a U.S.$2.7 billion acquisition financing commitment to Hyatt, which is expected to be reduced by the amount of proceeds of the offering of the senior notes. Hyatt has announced that it expects to fund the remainder of the acquisition with a portion of the proceeds from a senior unsecured delayed draw term loan facility to be funded concurrently with the closing of the Playa Hotels acquisition as part of the acquisition financing commitment.

Hyatt is a global hospitality company with widely recognized, industry-leading brands and a tradition of innovation developed over its more than 65-year history. Hyatt’s portfolio of properties consists of full-service hotels and resorts, select service hotels, all-inclusive resorts and other properties, including timeshare, fractional and other forms of residential, vacation, and condominium ownership units.

The Simpson Thacher team for the transaction included John C. Ericson, Traci Biedermann, Julie De Keukeleire and Cindy Yao (Capital Markets); Justin Lungstrum, Dennis Durkin and Mark Marzziotti (Credit); Michael Mann and Mohanad Salaimi (Tax); Pasco Struhs (Executive Compensation and Employee Benefits); Paige Brinton (Intellectual Property); and Jennie Getsin (FINRA and Blue Sky).