Debt-laden Queens Moat Houses (QMH) has announced a proposed rescue package that will see the hotel company taken over by finance group Whitehall Funds.
The terms of the restructuring value QMH at £554m.
QMH admitted in June that it had received an approach from property financier Whiteahall, which is owned by investment bank Goldman Sachs.
Under the terms of the acquisition, QMH shareholders will receive 1p for every share. Junior convertible debt will be converted into shares and holders also receive 1p a share.
Goldman Sachs will buy out the company's junior term debt for 90p in the pound.
QMH chairman Steven Marshall said Whitehall's ability "to invest new capital in the Queens Moat group should provide a more solid platform for the business."
The latest deal supersedes QMH's earlier plans to sell off its UK, Dutch and German divisions separately.
Shareholders will have to approve the plans.
Goldman Sachs and its operating partner, Westmont Hospitality, already own and manage Holiday Inns across Europe.
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