Aston buyer’s IPO
proves hot

It jumps nearly 41% the first day

By Russ Lynch
Star-Bulletin

A new stock that was issued to finance a mainland company's purchase of Aston Hotels & Resorts and 13 other companies was quickly snapped up when it hit the market today. By the close of trading the price had shot up nearly 41 percent.

ResortQuest International Inc.'s initial public offering went on to the market with 5.8 million shares priced at $11. The stock quickly hit $15 this morning, and closed at $151/2 with about 4.7 million shares traded on the New York Stock Exchange.

Initially called Vacation Properties International Inc. for the purposes of a preliminary prospectus, ResortQuest was formed in Memphis, Tenn., by a group headed by David C. Sullivan, formerly a top executive with Promus Hotel Corp.

In addition to paying $29.5 million for Honolulu-based Aston, which manages 29 hotels and vacation condominiums, ResortQuest is also buying Maui Condominium & Home Realty and a dozen vacation rental companies across the country.

Aston's principal owner, Andre S. Tatibouet, gets 1.7 million shares of the new company in addition to cash and will remain chairman of Aston.