Hilton Signs Expansion, Spa Deals

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Hilton Hotels Corp. said Tuesday that it plans to open 25 hotels in the United Kingdom over the next five years.


The Beverly hills-based hotel owner and operator said it has signed a letter of understanding with privately held Somerston Hotels UK Ltd., which will franchise the Hampton by Hilton brand of hotels. The deal will put about 3,000 additional Hilton rooms overseas.


Somerston Hotels currently owns and operates 34 hotels with more than 4,000 rooms.


This is the second European development agreement Hilton has signed in as many months. Hilton inked a deal last month to develop 15 hotels with Shiva Hotels Ltd. in India.


Separately, Hilton also announced that it was entering a partnership with LVMH to open or upgrade 135 luxury spas in Hilton’s upscale properties. No financial details were released regarding either agreement.


Shares in Hilton fell 24 cents to $34.60 in afternoon trading Tuesday on the New York Stock Exchange.

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