Whitbread shares soar as Premier Inn spin-off looks increasingly likely
Shares in Premier Inn owner Whitbread rocketed more than 6% this morning after an activist investor confirmed it had acquired more than a 6% stake, making it the firm’s largest shareholder.
Reports have suggested that Elliott Advisors is pressuring Whitbread into splitting its hotel and Costa Coffee businesses to add shareholder value.
US hedge fund Sachem Head, which as a 3.4% stake in Whitbread, has also advised the management to consider breaking up the business, as well as a sale and leaseback of its Premier Inn properties, said the BBC.
Analyst Alpesh Patel told the Today programme Elliott wanted two separate companies so they can value hotels alongside competitors, such as Hilton, and Costa alongside rivals like Greggs.
Whitbread’s chief executive Alison Brittain has previously stated that the company is ‘entirely open-minded about the structure of the business and are fully committed to reviewing it on a regular basis at the board level’.
Premier Inn announced last year that it was on track to grow its number of hotel rooms from 70,120 to 85,000 by 2020.
Linsey McNeill
Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
U.S.A. and Israel attacks on Iran impact air movements in the Gulf (Update 1.00pm CET)
Global tourism exceeds 1.5 billion travelers announces UN-Tourism
WTTC global tourism reached record economic impact of 11 trillion in 2025
Qatar Airways offers reduced timetable to over 60 destinations