This morning word came out that Chinese consortium Anbang had raised its bid for Starwood to $82.75 in cash.
Marriott had offered 0.8 Marriott shares and $21 in cash last Monday, worth a little over $79 at the time, to outbid Anbang’s previous $78 offer. Marriott’s shares had fallen since then.
Instead of countering with a higher offer — continuing the potentially irrational bidding war — Marriott has issued a statement saying that Starwood’s shareholders to vote to sell for Marriott’s cash and stock offer anyway.