On Monday we learned about an captivating development regarding the Marriott and Starwood merger,where a Chinese investor group has submitted an offer to acquire all outstanding shares of Starwood common stock for $76 per share.
While the merger with Marriott is well underway, Starwood has a waiver which allows them to entertain other offers for the time being. They have the obligation of exploring those offers and maximizing shareholder value.
While this tender from the Chinese investor group is structured differently than the merger between Marriott and Starwood, and on the surface it's a better deal for shareholders. Marriott's offer is a combination of cash and stock,where owners of Starwood stock would receive 0.92 Marriott shares plus $2 in cash for each held Starwood share.
We don't know what exactly that will amount to when the deal closes, but it's unlikely to accumulate Starwood more than $76 per share.
The reason for this post is that Starwood has a waiver from Marriott to explore the offer further, and valid through Thursday,March 17, 2016, and which was yesterday. Per Reuters:The post Update On Starwood’s Chinese Takeover tender? appeared first on One Mile at a Time.
Source: boardingarea.com