Thai hospitality firm Minor International is bidding to take over Spanish chain NH Hotel Group after raising its shareholding in a deal worth almost €620 million.

Minor is to acquire a 25.2% stake in NH Hotels held by Chinese conglomerate HNA Group. The purchase follows Minor taking a 9.5% shareholding in NH Hotel Group.

Minor confirmed plans to launch an all-cash offer to acquire NH Hotel Group’s remaining shares, valuing the Spanish company at €2.5 billion.

Minor owns and operates more than 150 hotels and resorts, while NH has more than 370 hotels in 30 countries. NH rejected a take over offer from rival Barcelo in January.

Minor Hotels chief executive Dillip Rajakarier said: “Today we are embarking on a new era, driving investment strategy to further cement our footprint in the European hospitality industry”

“We will be able to create a network of over 540 hotels with a reach across Asia, Oceania, the Middle East, Africa and Europe, all of which are important hospitality regions around the world.

“The business network will allow the two companies to capitalise on our leadership positions in key growth areas, highly complementary asset and brand portfolio, technology platform and talented employees.

“Together, we will be well-positioned to achieve greater success, provide greater value to customers and create more exciting growth opportunities than either company could achieve alone.”