InterContinental London Park Lane | Teplis Travel

Why IHG Is Ripe for an Acquisition

When news leaked last week that China’s Anbang Insurance Group (yes, the same Anbang that attempted to buy Starwood for close to $14 billion earlier this year) was considering a $9.12 billion purchase of London-based InterContinental Hotels Group, it immediately reignited discussion about further consolidation in the hospitality industry. IHG is the third largest hotel operator in the world, with 739,137 rooms, excluding timeshares, as of December 31, 2015. Its two biggest competitors are Hilton Worldwide (748,887 rooms) and Marriott International (742,265 rooms), which will swell to 1.1 million rooms when the Marriott-Starwood merger is complete, making it the largest hotel company in the world. However, IHG has the biggest hotel loyalty program, with 92 million members worldwide, compared to Marriott’s 54 million and Hilton’s 51 million. That’s a lot of loyalty program members. To read more at Skift, click here.

Leave a Comment