InterContinental Hotels Group (IHG) has ignored pressure from one of its shareholders to consider a merger with another high-profile hotel chain.
The hotel group was forced to make a statement saying its committed to its current strategy after US hedge fund Marcato Capital Management published an open letter asking the IHG board to consider a tie-up with Starwood, Marriott, Hilton, Wyndham, Accor or Hyatt.
Marcato owns a 4% stake in IHG and said the hotel group had not given enough consideration to alternative strategies.
In its statement IHG said it had met with Marcato on 22 September and 29 October to review its analysis.
It said: “IHG maintains an active dialogue with all its shareholders and welcomes the feedback it receives. The Board regularly considers all options for driving shareholder value. Following this review, the Board has concluded that it remains in the best interests of all its shareholders to continue to pursue its current strategy for high quality growth and delivering strong operational and financial performance.”
IHG reportedly rejected an offer from a US rival in May, rumoured to have been Starwood