Four Seasons Bonds Jump On Potential LBO

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Four Seasons Bonds Jump On Potential LBO

Four Seasons Hotels' bonds jumped 14 points to 123 after the company received a proposal to take the company private for $82 a share.

Four Seasons Hotels' bonds jumped 14 points to 123 after the company received a proposal to take the company private for $82 a share. It received the proposal from its chief executive, Isador Sharp, and Triples Holdings, the controlling shareholder in Four Seasons, together with Kingdom Hotels International and Cascade Investment, owned by Microsoft Chairman Bill Gates. The deal would be financed through a combination of $750 million in new debt financing, which would partly be used to repay convertible notes, and $1.87 billion of equity, according to a Securities and Exchange Commission filing. A spokesperson at Four Seasons did not return calls.

Standard & Poor's and Moody's Investors Service put the luxury hotels and resorts company on review for downgrade.

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