Luxury hotel owner Strategic Hotels to explore sale (8/17/15)
Luxury hotel owner Strategic Hotels & Resorts Inc (BEE.N) said it was exploring strategic alternatives, including a sale, sending its shares up 4.5 percent in premarket trading.
The company, which has a market capitalization of about $3.8 billion, said on Monday it had hired J.P. Morgan as financial adviser.
Strategic Hotels' portfolio comprises hotels such as Marriott International Inc's (MAR.O) Ritz-Carlton and JW Marriott luxury brands.
Cascade Investment LLC, Strategic Hotels' second-largest shareholder, said separately it had entered into a "confidentiality and standstill agreement" with the company for sharing certain non-public information.
Bloomberg reported in July that Strategic Hotels had hired a bank to help find a buyer and that Ebay Inc (EBAY.O) founder Pierre Omidyar was among those interested.
Strategic Hotels' shares were trading up at $14.55 before the bell.
Up to Friday's close of $13.92, the stock had risen about 7 percent since July 22, the day before the Bloomberg report. http://www.reuters.com/article/2015/08/17/us-strategic-hotels-offer-idUSKCN0QM1A620150817