Park Plaza Owner PPHE Receives New Takeover Bid Amid London Market Exodus

PPHE, the owner of the Park Plaza hotel chain, has received a new takeover bid following the withdrawal of a previous offer from Israel's Fattal Hotel Group. The new proposal is in its early stages and is currently under assessment by the company. This development places PPHE as the latest target in a trend of foreign firms seeking to acquire British companies, potentially leading to another firm's departure from the London stock market.

Fattal Hotel Group had previously offered £930 million, or £22 per share, for the FTSE 250 group. However, this offer was dropped after Euro Plaza Holdings, which holds a 33% stake in PPHE, opposed the deal. PPHE had previously stated that Fattal's offer represented 'fair value,' but ultimately concluded that the Fattal Proposal could not proceed in its current form due to the opposition.

PPHE operates 50 hotels across Europe, including Park Plaza hotels in London's Waterloo, Westminster, and Victoria, as well as locations in Leeds and Nottingham, and properties under the luxury Art'otel brand. The company's shares fell 18.73% to 1625p following the news of Fattal's withdrawn bid.

The hotel group's situation reflects a broader trend on the London market. In recent weeks, several significant British companies have announced or agreed to takeovers by foreign entities. Intertek, a FTSE 100 firm, confirmed a £10.7 billion takeover by a Swedish private equity firm. Earlier this year, Schroders agreed to a £9.9 billion takeover by U.S. rival Nuveen, and Lloyd's of London underwriter Beazley accepted an £8.1 billion bid from Zurich Insurance. Energy firm DCC also indicated it was 'minded' to accept a £5.7 billion offer from private equity firms KKR and Energy Capital Partners. Mid-cap companies are also being targeted, with William Hill owner Evoke agreeing to a takeover by Greece-based Bally's Intralot, and a £2.7 billion bid for Tate & Lyle tabled by U.S. rival Ingredion.