19th Jun 2026 08:12
(Alliance News) - PPHE Hotel Group Ltd on Friday said it a takeover proposal from Fattal Hotel Group is unlikely to materialise, as the London listing's 33% shareholder is opposed to bid.
However, the operator of Park Plaza and art'otel hotels said it has "received an indicative proposal from another interested party".
Last month, Fattal confirmed it has proposed to acquire PPHE. Fattal, a Tel Aviv-based hospitality chain which operates hotels under the Leonardo and NYX brands, made a proposal at GBP22 per share, valuing PPHE at GBP920.9 million.
PPHE shares fell 8.9% to 1,824.00 pence each in London on Friday morning, for a GBP769.4 million market capitalisation. It was the worst FTSE 250 performer.
But Euro Plaza Holdings, which owns 33% of PPHE, "is opposed to the Fattal proposal".
"Fattal has recently informed the PPHE board that it would not be prepared to proceed with the Fattal proposal in circumstances where Euro Plaza Holdings is opposed to such an offer. Accordingly, the independent committee has concluded that the Fattal proposal is not capable of being delivered in its current form," PPHE said.
But in late-May, PPHE received an "indicative proposal from another interested party".
"This interest is at a very preliminary stage and is currently being assessed," it added.
PPHE kicked off a strategic review in November, with a full sale of the company an option being mulled.
PPHE added: "The board of PPHE is mindful that the strategic review process has been a full and thorough process conducted over a period of more than 7 months and intends to conclude the process as expeditiously as possible."
By Eric Cunha, Alliance News news editor
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