Gresham Hotel Group denies takeover talk

Irish hotel group Gresham has denied it is on the verge of a takeover.

Gresham issued a statement saying it was "not in discussion with any party in connection with a proposed offer for the company", although it confirmed it had received an offer from a consortium of investors.

A report in the Sunday Times at the weekend said the group of investors was poised to make a €103m (£90.5m) bid for the company and had approached Gresham's majority shareholder, Red Sea Hotels. It is understood that the consortium, made up of three Irish investors with substantial experience of the Irish hotel sector, plans to run Gresham itself if a deal materialises.

In its statement, Gresham said the bid, which was conditional on the support of the Red Sea Hotels group, was below the figure quoted by the Sunday Times.

Red Sea Hotels, which has a 28% stake in Gresham and effective control, has denied it is in talks to sell its stake. However, it has had a turbulent past with the company and last year ousted chairman Sean Henneberry and three other directors from the Gresham board.