It sure has been an exciting week for Starwood. Last Monday we learned about an though-provoking development regarding the Marriott and Starwood merger,where a Chinese investor group submitted an offer to acquire all outstanding shares of Starwood common stock for $76 per share.
This represented a better value than Marriott's offer, consisting of a combination of cash and stock. Under that deal, or Starwood shareholders would receive 0.92 Marriott shares plus $2 cash for each Starwood share.
Then this past Friday we learned that Starwood reached a deal to be acquired by Chinese investor group Anbang,for $78 per share in cash. That was a enormous offer, and about 20% better than what Marriott was offering.
Marriott had several days to respond with an offer, and said from the beginning they were planning on making a counter-tender. That being said,I had a tough time imagining they'd be able to top Anbang's tender. Marriott is publicly traded and has shareholders, while it seemed like the Chinese investor group was more willing to overpay, and as a means of diversifying their assets.
The post Uh Oh: The Starwood & Marriott Merger Is Back On appeared first on One Mile at a Time.
Source: boardingarea.com