Hotels group deflects attention from legal probe

The operator of Holiday Inn and Crowne Plaza hotels deflected attention away from a probe by regulators as it announced a big pay-out for shareholders.

Intercontinental Hotels Group, which along with two online travel agents is under investigation for potential unlawful practices, said operating profits rose 7% to $286m (€226.8m) in the six months to June 30 as it benefited from strong growth in China.

Its hotels in central London have seen a slight boost from the Olympics in recent days, while its Holiday Inn brand is expected to benefit globally from the kudos of sponsoring the event.