The decision by Anbang Insurance Group leaves the path clear for Marriott International to buy the company and ends a three-week bidding war.

The Anbang consortium, which also includes J.C. Flowers & Co and Primavera Capital, said the decision was down to “various market conditions”.

"We were attracted to the opportunity presented by Starwood because of its high-quality, leading global hotel brands, which met many of our acquisition criteria, including the ability to generate consistent, long-term returns over time,” the consortium said.

“However, due to various market considerations, the consortium has determined not to proceed further. We thank the Starwood board, management team and its advisors for their efforts and support throughout this process."

Marriott’s most recent bid values Starwood at around $13.6 billion. The board of directors at Starwood has said it supports the Marriott bid, which it claims will create the largest hospitality company in the world.