HFS Inc. closed the pricing period for determining the exchange ratio of its shares for PHH Corp. shares in connection with the proposed acquisition of PHH.

HFS Inc. said the merger agreement calls for shareholders of Hunt Valley, Md.-based PHH Corp. to receive a ratio of 0.825 shares of HFS Inc. stock for each PHH share.

HFS said the average closing price of its stock for the 20 trading days beginning March 22 and ending April 22 was $56.813. The stock swap values PHH at about $1.6 billion.

HFS plans to issue up to 30.9 million shares once the merger is closed.

Both companies' shareholders are scheduled to vote on the merger April 30. HFS, owner of the Century 21, ERA, and Coldwell Banker real estate brokerage chains, announced in November that it was purchasing PHH, the nation's 13th-largest mortgage originator.

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