Spain's NH Hotel Group has said its three independent board members quit in opposition to an offer made by the company's main shareholder, Minor International, to buy the shares it does not already own.
Thai tourism group Minor International, which already owns a 94% of NH Hotel's shares, had made an offer for the remaining outstanding shares at €4.50 apiece, which was later raised to 'market price' after the market regulator said the offer was too low and recommended a price above €5.68.
In a letter sent to the regulator, the independent board members, Alfredo Fernandez, the board's chairman, Jose Maria Cantero de Montes-Jovellar and Fernando Lacadena, said the offer was "detrimental" to minority shareholders.
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The remaining board members opposed the statement and called for a board meeting.
During the pandemic, NH Hotel lost about 50% of its market value. Despite an industry recovery since late last year and a strong price increase this year, its shares still trade well below the 6.30 euros that Minor paid for its stake in 2018.
Shares are up 45% so far this year.
Spain Suspends Trading In NH Hoteles, Thai Parent Offers To Buy Shares
The above news followed news that Spanish stock market regulator CNMV on Monday 15 May suspended the trading of shares in NH Hotel Group SA pending information from the company, just as its Thailand-based parent company offered to buy NH stocks in the market.
The regulator said the suspension was a "precautionary measure" taken "while relevant information on the aforementioned entity is disseminated".
Minor International, which already owns a 94% stake in NH, said in a separate statement issued after the CNMV's announcement it would buy outstanding shares on the Madrid stock exchange for a 30-day period at a price no higher than €4.50 per share.
Earlier on Monday 15 May, NH published its first-quarter results but did not mention Minor's offer. The group's net recurring loss halved to €40 million from a year ago as it expected demand to remain strong in coming months.
Read More: NH Hotels Records Loss For 2020
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