Sunstone Lodge shares leap on report of Trinity acquisition curiosity

Investing.com — Shares of Sunstone Lodge Buyers Inc (NYSE:SHO) surged 11% on Tuesday following a Bloomberg report that Trinity Investments has expressed curiosity in buying the Aliso Viejo, California-based firm.

In response to the report, Trinity is contemplating providing $13 per share for Sunstone. Nonetheless, the businesses are usually not in lively talks, the report cited one of many sources as saying.

Each Trinity and Sunstone didn’t reply to Investing.com’s requests for remark.

Sunstone, which operates an ongoing inventory repurchase program, just lately acquired 2.3 million shares at a median worth of $9.79. Final month, the corporate lowered its 2024 revenue outlook to a variety of $31 million to $41 million, down from a previous forecast of as much as $53 million, amid challenges within the home journey trade.

The reported bid comes as home journey faces headwinds from persistent inflation, driving demand for budget-friendly lodging.