PPHE Hotel shares jumped 24% after receiving a £920.9 million ($1.24 billion) takeover proposal from shareholder Fattal Hotel Group. The Israeli company offered 22 pounds per share, representing a 36% premium to PPHE's closing price. London-listed shares hit a three-month high of 20.50 pounds during the session.

The Netherlands-based hotel group, which owns the Park Plaza brand and partners with Radisson Hotel Group, said it will engage with major shareholders regarding the approach. The surge comes despite PPHE having only gained 11% year-to-date, making the premium particularly attractive to investors.

The takeover approach follows PPHE's November 21 announcement that it was undertaking a business review to improve shareholder value. The company now faces strategic decisions about whether to accept the offer or pursue alternative strategies to enhance value for its stakeholders.