PPHE positive on $1.24 billion takeover bid from Israel's Fattal Hotel Group (updated)
UPDATE 1-PPHE positive on $1.24 billion takeover bid from Israel's Fattal Hotel Group Adds details, background throughout
May 27 (Reuters) - Hospitality real estate firm PPHE Hotel Group PPH.L said on Wednesday it has received a £920.9 million ($1.24 billion) takeover proposal from Israel's Fattal Hotel Group, deeming the offer to fairly value the business.
The offer price of £22 per share represents a 36.5% premium to PPHE's closing price on Wednesday.
The London-listed company had launched a strategic review in November, a week after controlling shareholders Eli Papouchado and Boris Ivesha expressed willingness to consider a potential partial sale of their stakes.
Papouchado and Ivesha together hold about 44% of the voting rights in PPHE.
PPHE said on Wednesday it would engage with its major shareholders to assess the deliverability of the proposal.
Israeli hotel operator Fattal reserves the right to vary the form or value of its offer, including introducing securities or reducing the £22-per-share price under certain conditions.
PPHE, headquartered in Amsterdam, operates hospitality real estate across Europe, including hotels under brands such as Park Plaza and art'otel, while Fattal operates a portfolio of hotels across Europe and the Middle East.
($1 = 0.7448 pounds)
(Reporting by Sri Hari N S in Bengaluru; Editing by Shilpi Majumdar)