Diamond Resorts Timeshare Files Public Offering
Sunday, June 16, 2013
If you are part of timeshares and vacation ownership, you may have heard the news already–Diamond Resorts International Inc. has filed an IPO, initial public offering, of up to $200 million in common stock. The purpose of the filing is said by the Wall Street Journal to be paying down debt and the funding of working capital and other general corporate purposes, including development in new geographic markets.
As a hospitality and vacation ownership company, Nevada-based Diamond Resorts timeshares manages eighty Diamond Resorts timeshare-branded properties located in the US (including Hawaii), Mexico, the Caribbean, and Europe. The Diamond Resorts timeshare network includes some 295 vacation destinations, and programs through which Diamond member/owners can acquire vacation ownership interests in the form of timeshare points.
According to the company and Friday’s regulatory filing, Diamond Resorts timeshare saw a first quarter profit of $2.27 million as revenue rose 41 percent to $153.5 million.
The company plans to lists its common stock on the New York Stock Exchange under the symbol DRII. It listed Credit Suisse Securities as lead underwriter to its offering, along with BofA Merrill Lynch, J.P. Morgan and Guggenheim Securities were listed as the main underwriters. The final size of the IPO can be different than that indicated in the filing, as the amount of money a company says it plans to raise in its first IPO filings is used to calculate registration fees.