La Quinta Holdings Inc., the Blackstone Group-backed midpriced hotel chain, filed to raise $100 million in an initial public offering.
JPMorgan Chase & Co. and Morgan Stanley are managing the offering, according to a regulatory filing with the U.S. Securities and Exchange Commission. La Quinta didn't specify the number of shares being sold or a price range.
Blackstone has taken hotel companies Hilton Worldwide Holdings Inc. and Extended Stay America Inc. public, both of whose shares have increased since their debuts late last year. La Quinta, based in Irving, Texas, said in December that it had filed a prospectus confidentially under the Jumpstart Our Business Startups Act.
Blackstone acquired La Quinta in January 2006 for about $3 billion, according to company statements. The New York-based private-equity firm explored a sale of the company before opting instead for an IPO, people with knowledge of the matter said. La Quinta operates and franchises more than 800 hotels in the U.S., Canada and Mexico, according to its website. Proceeds from the IPO will be used to repay debt, according to the prospectus.
La Quinta, which posted revenue of $818 million in 2012, is being audited by the Internal Revenue Service for 2010 and 2011, according to the filing, and may be required to pay additional taxes for those years. The IRS gave notice of a proposed adjustment of $158 million as of Jan. 9, the filing shows.
The company said it expects its tax returns under audit to be sustained upon examination.