PARIS (AP) - Shares in Club Mediterranee rose sharply Monday on word that the iconic French vacation resort operator's two largest shareholders are launching a buyout.
The offer by Axa Private Equity of France and Fosun, a Shanghai, China-based investment company, values Club Med stock at 556 million euros ($719.41 million).
Axa PE and Fosun already own a combined 19.33 percent of Club Med shares representing 24.87 percent of the voting rights. They are offering 17 euros a share for the rest of Club Mediterranee's stock.
In a statement, Axa PE and Fosun said the offer would be made in the coming days.
Club Med shares jumped 22 percent to 16.95 euros following news of the planned offer.
Founded in 1950, Club Med operates about 80 resorts in Europe and around the world.
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