PPHE Hotel Group shares soared on Thursday after confirming a takeover approach from Fattal Hotel Group, with the Israeli-based operator tabling an indicative cash offer of £22 per share.
PPHE shares were 25% higher at the time of writing.
The proposal follows the strategic review and formal sale process PPHE kicked off back in November.
PPHE said that the board has reviewed the offer and feels it represents ‘fair value’.
The next step is for the Board to sound out PPHE’s larger shareholders to gauge whether a deal could actually get over the line. As ever with these things, there’s no guarantee a firm offer will materialise, nor any certainty on the eventual terms.
Nonetheless, PPHE seems keen to do a deal that could result in yet another company leaving London’s public markets.
PPHE recently announced an 8% increase in Q1 revenues driven by strength in its London portfolio.