Choice Hotels offers nearly $8 billion for larger rival Wyndham Hotels & Resorts as travel booms

Choice Hotels International is asking shareholders of rival chain Wyndham Hotels & Resorts to sign off an a buyout worth nearly $8 billion after Wyndham broke off negotiations after six months, the company said Tuesday.

“A few weeks ago, Choice and Wyndham were in a negotiable range on price and consideration, and both parties have a shared recognition of the value opportunity this potential transaction represents, said Choice CEO Patrick Pacious. ”We were therefore surprised and disappointed that Wyndham decided to disengage. While we would have preferred to continue discussions with Wyndham in private, following their unwillingness to proceed, we feel there is too much value for both companies’ franchisees, shareholders, associates, and guests to not continue pursuing this transaction."

Wyndham did not immediately respond to a request for comment early Tuesday.

Choice, based in Rockville, Maryland, is offering $49.50 in cash and 0.324 shares of Choice common stock for each Wyndham share they own, a 20% premium to Wyndham's last closing price.