(BBC) - The owners of Travelodge are reportedly preparing a £1bn sale or stock market float of the hotel chain.
The Daily Telegraph said Travelodge's owners - investment bank Goldman Sachs, and hedge funds GoldenTree Asset Management and Avenue Capital - have appointed Deutsche Bank to advise them.
The three have owned Travelodge since rescuing the business in 2012, when it had £500m in debts.
The hotel chain reported an 18% rise in half-year revenues to £261m on Monday.
Since 2013 the company has embarked on a £100m investment programme.
The decision to sell the chain is believed to be specifically tied to the turnaround achieved by the business in the past two and a half years since the new investment programme was launched.
It was first reported that the budget hotel chain's owners were considering a sale in April following a surge in annual profits.
Travelodge reported a 63.5% surge in underlying profits to £66.2m in 2014, with revenues up 14.9% to £497.2m.
Travelodge chief executive Peter Gowers told BBC Radio 4's Today programme the hotel chain's owners were "not natural long-term holders" of the business, pointing out that when they took over the company in 2012 they restructured its debts and invested in the business to get it back on track.
He added with the company back on its feet it was a good time for the consortium to reassess their ownership of the hotel chain.
Mr Gower also told the Daily Telegraph that while the sale took place he would "continue to focus on driving the business forward and building on the great momentum seen in our performance so far this year".
Travelodge - which currently has more than 500 hotels - will open a further 45 hotels nationwide over the next two years, he added.
