Kerzner International, the US-listed resort and casino operator, is set to be privatised in a $3.6bn management buyout.
But the bid may face counter offers, believe analysts, with a price of $81 per share thought possible, compared to the $76 currently on offer.
The Bahamas-based company, which operates the One & Only chain and the Atlantis resort, has not had a happy time during its listing. An attempt to go private was made in 2000, when it was known as Sun International.
Among the backers of the deal are Whitehall Street, Colony Capital, Providence Equity Partners and The Related Companies. Sol Kerzner and family would increase its stake to 25% if the deal goes through.
The atmosphere around hospitality companies in the US is reaching white-hot proportions and rival bids are expected with Starwood Capital among the names tipped. Last week, US casino operator Aztar Corp agreed to be taken private by Pinnacle Entertainment for $1.45bn.