Wyndham Worldwide acquired La Quinta hotel franchise and hotel management businesses for $1.95bn in cash.

Wyndham Worldwide Corporation and La Quinta Holdings Inc. announced that they have entered into a definitive agreement under which Wyndham Worldwide will acquire La Quinta's hotel franchise and hotel management businesses for $1.95bn in cash. The acquisition is expected to close in the second quarter of 2018. Under the terms of the agreement, stockholders of La Quinta will receive $8.40 per share in cash (approximately $1.0bn in aggregate), and Wyndham Worldwide will repay approximately $715m of La Quinta debt net of cash and set aside a reserve of $240m for estimated taxes expected to be incurred in connection with the taxable spin-off of La Quinta's owned real estate assets into CorePoint Lodging Inc.