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.

Symbol
Price
 
Change
%Change
WYN
---
IHG
---
HOT
---

Featured

Travel

U.S. News

  • The Marriner S. Eccles Federal Reserve building in Washington.

    CNBC's Fed Survey shows market pros aren't very confident the Fed can end its easy money polices without a market crash, a recession or bad inflation.

  • Merck employees walk past a Merck sign in front of the company's building in Summit, New Jersey.

    Merck reported better-than-expected results, with sales of newer drugs offsetting declining sales of drugs facing generic competition.

  • Pfizer reported higher-than-expected second-quarter earnings, helped by growing sales of its cancer medicines.