Categories: NewsResorts

Hilton Grand Vacations Completes $350 Million Securitization

ORLANDO, Fla.–(BUSINESS WIRE)– Hilton Grand Vacations Inc. (NYSE:HGV) announces today the completion of a $350 million securitization of vacation ownership loans through Hilton Grand Vacations Trust 2018-A (“the Trust”).

Three classes of Notes were issued by the Trust, including approximately $267.9 million of Class A Notes, approximately $53.6 million of Class B Notes and approximately $28.6 million of Class C Notes.

This marks the first AAA-rated transaction by HGV. The Class A Notes have an interest rate of 3.54 percent, the Class B Notes have an interest rate of 3.7 percent and the Class C Notes have an interest rate of four percent, for an overall weighted average interest rate of 3.6 percent. The A class priced at interpolated swaps + 58, marking the tightest senior class issuance spread for the Hilton Grand Vacations Trust (“HGVT”) platform to date.

Proceeds of the issuance, net of fees, will be used to pay down other non-recourse debt and for other general corporate purposes, including inventory investments.

The Notes were offered in a private placement within the U.S. to qualified institutional buyers pursuant to Rule 144A and outside the U.S. in accordance with Regulation S under the Securities Act of 1933, as amended. This press release is an announcement of record only and does not constitute an offer to sell or the solicitation of an offer to buy the Notes, all of which have been sold. The transaction was rated by Standard & Poor’s Financial Services LLC (S&P) and Fitch Ratings, Inc.

About Hilton Grand Vacations Inc.

Hilton Grand Vacations Inc. (NYSE:HGV) is recognized as a leading global timeshare company. With headquarters in Orlando, Fla., Hilton Grand Vacations develops, markets and operates a system of brand-name, high-quality vacation ownership resorts in select vacation destinations. The Company also manages and operates two innovative club membership programs: Hilton Grand Vacations Club® and The Hilton Club®, providing exclusive exchange, leisure travel and reservation services for more than 295,000 Club Members. For more information, visit www.hgv.com and www.hiltongrandvacations.com.

Hilton Grand Vacations Inc.
Erin Pagán, 407-613-3771
erin.pagan@hgv.com

Source: Hilton Grand Vacations Inc.

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