Dalata Hotels agrees to €1.4bn takeover

(Sharecast News) - Irish hotel giant Dalata is to be bought by Scandinavian property companies Pandox and Eiendomsspar for €1.4bn, the companies said on Tuesday. Dalata shareholders will receive €6.45 cash per share, a premium of about 12% to the closing price on June 2 - the day before the two investors first disclosed their interest.

Ireland's largest hotel group rejected an initial proposal in early June from the duo, valuing it at €1.3bn, saying that the price undervalued the group.

Dalata operates 56 hotels under the Maldron Hotel and Clayton Hotel brands, with most located in Ireland and the UK.

Reporting by Frank Prenesti for Sharecast.com