GO
Loading...

Wyndham was Intercontinental's mystery bidder: report

A sign for the InterContinental Hotel, operated by the InterContinental Hotels Group Plc, sits on display at the hotel in Park Lane, London.
Simon Dawson | Bloomberg | Getty Images
A sign for the InterContinental Hotel, operated by the InterContinental Hotels Group Plc, sits on display at the hotel in Park Lane, London.

The unidentified bidder that hoped to merge with Intercontinental Hotels in May was Wyndham Worldwide, Sky News reported Saturday, citing unidentified sources.

Other news outlets had speculated that Starwood Hotels might be the mystery bidder.

In May, Sky reported that Intercontinental's board had rejected a bid from a U.S. company that would have valued IHG at 6 billion pounds.

Sky now reports that Wyndham made a preliminary offer to acquire Intercontinental, and the offer is no longer pending but could be revived. "Wyndham is understood to have been examining a merger with IHG as a means of pursuing a so-called inversion, under which its tax domicile would have switched to the UK to take advantage of favourable corporate tax rates," Sky reported.

A spokesman for Wyndham declined to comment on the Sky report. "We cannot comment on speculation," Michael Valentino, the vice president of marketing and communications of Wyndham Worldwide, said in an email Tuesday to CNBC.

Wyndham bills itself as the world's largest hotel company with approximately 7,500 hotels, including brands such as Ramada, Night, Planet Hollywood, Dream, Days Inn, Super 8, Travelodge, Tryp, Wingate and Howard Johnson. Intercontinental's 4,700 hotels include brands such as Crowne Plaza, Holiday Inn, Candlewood Suites, Indigo, Even, Staybridge Suites and the new Chinese-focused Hualuxe Hotels and Resorts.

Read the full report here.

—By CNBC Staff. Follow Road Warrior on Twitter at @CNBCtravel.

Travel

  • CNBC's Kate Rogers reports nearly every flight out of LaGuardia Airport has been cancelled or delayed due to ugly weather conditions.

  • People walk past a board that announces cancelled flights at LaGuardia airport on the day before Thanksgiving, in New York, Nov. 26, 2014.

    An insurance company is offering payouts if there are delays or cancellations and if luggage is lost.

  • What's goes into the busiest day of travel in the U.S., with Gordon Bethune, former Continental Air CEO, who says a decline of last minute seats is driving current customer behavior.

U.S. News