The Wyndham Hotel Group will become a publicly traded pure-play hotel company.

Wyndham Worldwide Corp. (WYN) shares were rising in morning trading Thursday after the company announced that it would spin off its hotel business and become two publicly traded hospitality companies. 

Wyndham Hotel Group, headquartered in Parsippany, NJ, will become a publicly traded pure-play hotel company while Wyndham Vacation Ownership, headquartered in Orlando, FL, will be operated separately as the world's largest publicly traded timeshare company, according to Wyndham. 

"After a comprehensive review process, the  board of directors has determined that a spin-off of the hotel business and the combination of Wyndham Vacation Ownership with RCI is the best structure to unlock shareholder value and enable strong growth across the businesses," said Wyndham Worldwide CEO Stephen P. Holmes.

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