March 11 Reuters Choice Hotels International has terminated its hostile bid for rival Wyndham Hotels Resorts after failing to gather enough support from the target39;s shareholders, the company said on Monday.

The company will also withdraw its nomination of independent director candidates for election at Wyndham39;s 2024 annual meeting.

Shares of Wyndham fell 4.5 before the bell, while those of Choice were up 3. Wyndham shares have gained about 10 since the bid was made public in October.

While the support from Wyndham stockholders tendering into the exchange offer was significant considering the number of investors structurally prevented from participating at this stage, it was not sufficient for Choice to conclude that a path towards a transaction is available at this time, Choice said.

Choice, which began takeover talks with Wyndham in April 2023, went public with its cashandstock offer in October, then valued at about 8 billion, to combine two of the biggest U.S. budget hotel operators as travel demand normalizes.

It launched a hostile bid in December, after Wyndham repeatedly rebuffed its approaches, saying that the offer was lowpremium and fraught with antitrust risk. Wyndham also raised concerns about the combined company carrying too much debt and a slowdown in Choice39;s business.

In an attempt to break the stalemate, Choice, in January, nominated a slate of directors to replace Wyndham39;s eightmember board.

Wyndham has said that it could achieve a…