Blackstone Group LP won a two-year extension on $2.65 billion of debt tied to its purchase of the La Quinta hotel chain by paying down principal, retiring some junior debt and agreeing to a higher interest rate, said a person with knowledge of the agreement.
The private-equity firm has been working for the past year to restructure about $3.05 billion of debt, said the person, who asked not to be identified because the information is private. Blackstone, based in New York, bought the Dallas-based limited-service hotelier in 2006 for about $3.4 billion, investing about $475 million of equity.
