NORTH BETHESDA, Md. - Choice Hotels (NYSE:CHH) International, Inc. (NYSE: CHH) is calling on shareholders of Wyndham Hotels & Resorts, Inc. (NYSE: NYSE:WH) to tender their shares ahead of the exchange offer's expiration on Friday, March 8, 2024. Choice believes this action will prompt Wyndham's board to engage constructively on the terms of a potential transaction.
The exchange offer, which was initiated by Choice in December, is part of a strategy to directly involve Wyndham's shareholders and move forward with the regulatory approval process. Choice has claimed progress in addressing regulatory concerns and has proposed above-market regulatory protections, such as a substantial reverse termination fee and ticking fee.
Choice's offer values Wyndham at $90 per share, which it asserts is a premium compared to Wyndham's performance as an independent entity. However, Wyndham has not provided feedback on the offer nor granted Choice access to information that could potentially lead to an improved bid. Despite Wyndham's recent quarterly results, which have not bolstered Choice's confidence in increasing its proposal without proper due diligence, Choice maintains that a merger would benefit shareholders, franchisees, and guests alike.
The tendering of shares does not obligate Wyndham stockholders to accept Choice's current offer, as they have the option to withdraw tendered shares if the offer is extended, which Choice must announce by 9:00 a.m. ET on March 11, 2024, if applicable.
This article is based on a press release statement.
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