[Choice Ending Attempt] Wyndham Rejects Choice Hotels Takeover For $90 Per Share ($7.8 Billion)

Update 3/11/24: Choice has provided an update stating the offer has expired and they are removing their nominations  its nomination of the highly qualified, independent director candidates for election at Wyndham’s 2024 Annual Meeting of Stockholders.

Choice hotels has unveiled a plan for a hostile takeover of Wyndham for $90 per share ($7.8 billion and $9.8 factoring in Wyndham’s debt) in a cash and stock deal ($49.50 in cash and 0.324 shares of Choice common stock).

According to Choice they made an offer of $80 per share (40% cash and 60% Choice stock), that proposal was then rejected and Choice increased the offer to $85 per share (55% cash and 45% Choice stock) before the best and final offer of $90 per share (55% cash and 45% Choice stock) was made and rejected.

Wyndham says the deal was rejected as: ‘Choice’s offer is “highly conditional, and subject to significant business, regulatory and execution risk. Choice has been unwilling or unable to address our concerns’.