Outgoing Hilton Hotels Corp. CEO Stephen Bollenbach is set to receive a lofty payout once the mammoth hotelier's $26 billion sale to Blackstone Group LP closes, much to the chagrin of angry shareholders. As Reuters points out, Bollenbach's cash-out value of all options is $74.5 million, cash-out value of performance share units is $13.3 million, and restricted stock units is $2.2 million, according to the filing. Further, Bollenbach stands to receive $34.7 million through a deferred compensation plan — nearly $125 million in all — a hefty sum not lost on shareholders.
Between July 5 and July 17, shareholders filed a collective 12 class actions related to the merger agreement, the company said in a Securities and Exchange Commission filing Friday. Each suit alleges Hilton's directors breached fiduciary duty in connection with the merger agreement and that the consideration due to stockholders under the merger agreement is inadequate. The suits name the company and all of its directors as defendants, and all but one also names Blackstone. —Carolyn Murphy
Go to Reuters story on Bollenbach's payout
Blackstone makes offer for Hilton
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