Hilton is raising cash by selling loyalty points and offering bonds.

Hilton Hotel

Hilton Worldwide Holdings Inc. is raising cash by selling loyalty points and offering bonds as the company rides out the coronavirus crisis.

The company said that it pre-sold $1 billion worth of points in its Hilton Honors loyalty program to American Express Co., and plans to use the proceeds for working capital and general corporate purposes. Hilton also plans to offer $500 million in senior unsecured notes, the company said in a filing.

Like other hotel companies, Hilton is dealing with the impact of the coronavirus, which has brought global travel to a virtual halt. The company has suspended operations at nearly 1,000 hotels, representing roughly 16% of its portfolio. Revenue per available room, which accounts for occupancy and pricing, declined as much as 58% in March, according to the company’s preliminary estimates.

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