CityA.M. reports that Intercontinental Hotels Group (IHG) shares have risen as a result of reports of a possible merger of or with Sheraton’s owner Starwood Hotels and Resorts.
IHG became part of ‘M&A fever’ yesterday, with shares closing 2.3 per cent higher on talk of two of its rivals merging.
Suggestions that Starwood Hotels & Resorts, which owns the Sheraton, Le Meridien and W Hotels Brands amongst others, was in talks with Hyatt over a possible takeover.
There has been speculation for some time now concerning the future ownership and control of Starwoods, and there have been previous but as yet unsubstantiated reports that IHG was in talks with Starwoods.
It is also known that there is serious interest from Chinese investors in Starwoods – and possibly other hotel groups also – that might emerge as a result of these rumours.