The Timeshare Beat Home | Today's Headlines | Back to Previous Page
|
The Timeshare Beat Home | Today's Headlines | Back to Previous Page |
|
|
|
Press Release: DiamondRock Hospitality Company
July 9, 2004
BETHESDA, MD -- DiamondRock Hospitality Company today announced that it has completed a $210 million common stock
offering pursuant to a private placement. DiamondRock, a newly formed lodging investment company, will use the
net proceeds from this initial capital raise to acquire and invest in lodging properties located in North America
and for general corporate and working capital purposes.
DiamondRock has a strategic relationship with Marriott International, Inc., a leading worldwide hospitality company.
This strategic relationship distinguishes DiamondRock from other lodging investment companies because it is expected
to provide a continuing source of unique, attractive lodging investment opportunities, many of which may not be
available to other lodging investment companies. Marriott International has purchased $30 million in shares of
DiamondRock.
"We were pleased with the reception our company received from the capital markets. There are over 40 investors
in our initial equity raise, including some of the country's leading institutional investors," said William
W. McCarten, chairman and chief executive officer of DiamondRock. "We believe that the strength of our management
team, the recent turnaround in the lodging markets, and our strategic relationship with Marriott provide all the
essential ingredients to rapidly grow our company," added John L. Williams, President and Chief Operating
Officer.
All of the securities described in this release have been sold and no shares are being offered through this press
release. This announcement is neither an offer to sell nor a solicitation of an offer to buy any of these securities.
These securities have not been registered under the Securities Act of 1933, as amended, and may not be offered
or sold in the United States absent an effective registration statement or an applicable exemption from the registration
requirements of the Securities Act and state securities laws.
This press release contains "forward-looking statements" within the meaning of federal securities law,
including statements concerning business strategies and their intended results and similar statements concerning
anticipated future events and expectations that are not historical facts. The forward-looking statements in this
press release are subject to numerous risks and uncertainties, including the effects of economic conditions, supply
and demand changes for hotel rooms, competitive conditions in the lodging industry, relationships with clients
and property owners, the impact of government regulations, the availability, terms and development of capital to
finance growth, and changes in our strategic relationship with Marriott International, Inc. which could cause actual
results to differ materially from those expressed in or implied by the statements herein.
Source: DiamondRock Hospitality Company