Promus Hotel Corporation was a

hotel A hotel is an establishment that provides paid lodging on a short-term basis. Facilities provided inside a hotel room may range from a modest-quality mattress in a small room to large suites with bigger, higher-quality beds, a dresser, a ref ...

owner, management, and

franchise Franchise may refer to: Business and law * Franchising, a business method that involves licensing of trademarks and methods of doing business to franchisees * Franchise, a privilege to operate a type of business such as a cable television p ...

company based in

Memphis, Tennessee Memphis is a city in the U.S. state of Tennessee. It is the seat of Shelby County in the southwest part of the state; it is situated along the Mississippi River. With a population of 633,104 at the 2020 U.S. census, Memphis is the second-mos ...

. Spun off from the Holiday Corp. in December 1989 as

Promus Companies In Greek mythology, the suitors of Penelope (also known as the Proci) are one of the main subjects of Homer's ''Odyssey''. Role in the ''Odyssey'' In the ''Odyssey'' Homer describes Odysseus' journey home from Troy. Prior to the Trojan War, Odys ...

, the company became Promus Hotel Corporation in 1995 after the firm's gambling interests were spun off as

Harrah's Entertainment Harrah's Entertainment (later named Caesars Entertainment Corporation, previously The Promus Companies) was an American casino and hotel company founded in Reno, Nevada, and based in Paradise, Nevada, that operated over 50 properties and seven go ...

. Promus Hotel Corp. ceased to exist after its purchase by

Hilton Hotels Corporation Hilton Worldwide (legally Hilton Worldwide Holdings Inc.) is an American multinational hospitality company that manages and franchises a broad portfolio of hotels and resorts. Founded by Conrad Hilton in May 1919, the corporation is now led b ...

in 1998.

History

Promus Hotel Corporation's beginnings are tied to the original Holiday Corp., which was based in

. Holiday Corp. owned the

Holiday Inn Holiday Inn is an American chain of hotels based in Atlanta, Georgia. and a brand of IHG Hotels & Resorts. The chain was founded in 1952 by Kemmons Wilson, who opened the first location in Memphis, Tennessee that year. The chain was a division ...

hotel chain, but significantly higher competition in the hotel industry and a 1987 financial restructuring that left Holiday Corp. heavily in debt prompted Holiday to sell in August 1989 its Holiday Inn chain (including

Crowne Plaza Crowne Plaza is a British multinational chain of full service, upscale hotels headquartered in the United Kingdom. It caters to business travelers and the meetings and conventions market. It forms part of the InterContinental Hotels Group family ...

) for $2.23 billion to

Bass PLC Six Continents was a large British-based hotel and hospitality business which was listed on the London Stock Exchange and was once a constituent of the FTSE 100 Index. History The company was formed in June 2000 when the brewing business of Ba ...

, a large

British British may refer to: Peoples, culture, and language * British people, nationals or natives of the United Kingdom, British Overseas Territories, and Crown Dependencies. ** Britishness, the British identity and common culture * British English, ...

brewing concern. This left Holiday Corp. with several far more profitable core gambling and hotel brands, including

Embassy Suites Hotels Embassy Suites by Hilton is a chain of upper upscale all-suite hotels trademarked by Hilton Worldwide. As of December 31, 2019, there are 257 locations in five countries and territories with 59,712 rooms. Similar to other Hilton brands, 212 Em ...

Homewood Suites Homewood Suites by Hilton is an American chain of all-suite residential-style hotels managed by the Hilton Worldwide. As of December 31, 2019, the chain consists of 505 hotels in 4 countries and territories with 57,545 rooms. 490 Homewood Sui ...

, and

Hampton Inn Hampton by Hilton, formerly known (and still commonly referred to) as Hampton Inn or Hampton Inn & Suites, is an American chain of hotels trademarked by Hilton Worldwide. The Hampton hotel brand is a chain of moderately priced, budget to midscale ...

. In December 1989, Holiday Corp. spun off its hotels as stand-alone

. Promus Companies decided to split the gambling interests it owned from its tourist and business travel hotel chains, and in 1995 spun off its non-gambling assets to the stand-alone Promus Hotel Corporation. Promus Companies then changes its name to

. In September 1997, Doubletree Corporation and Promus announced a merger, retaining the Promus name. Almost exactly two years later, Promus Hotel Corp. was purchased by

for $3.1 billion.

References

{{Authority control Defunct hotel chains Hospitality companies of the United States Hilton Worldwide Companies based in Memphis, Tennessee Hotels established in 1994 Holding companies established in 1994 Holding companies disestablished in 1998 1994 establishments in Tennessee 1999 disestablishments in Tennessee Defunct companies based in Tennessee Corporate spin-offs 1999 mergers and acquisitions