Thistle Hotels owner BIL International has received a conditional cash offer from High Glory Investments acting on behalf of Malaysian billionaire-tycoon Quek Leng Chan.
Last month Quek's Hong Kong-based company Guoco Group increased its stake in Singaporean BIL to more than 30%, triggering a takeover bid.
Quek's bid of $1.20 (41p) per share values London's biggest hotel group at £550m.
Thistle has 10,000 rooms in the UK, 6,000 of which are in London, including flagship properties at Victoria, Kensington Place and Marble Arch.
BIL took Thistle private in 2003 with a £627m deal but has subsequently sold six properties for a rumoured £185m.
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