In a letter directed to members of the Special Committee of the Board of Directors of Station Casinos Inc. (NYSE: STN), CtW Investment Group urged them to reject as inadequate the proposal by Fertitta Colony Partners to acquire the company for $82 per share. The group believes the fair value of the company is in excess of $97 a share.
The group also said they are concerned that Special Committee Chairman James E. Nave may not be adequately independent of Fertitta Colony Partners given his recent role in facilitating a strategic acquisition by the Fertitta family’s investment arm. The group is calling for Mr. Nave to step down.
CtW Investment Group said the pensions funds they work with control an estimated 171,600 shares of Station Casinos and other public employee pension funds in which CtW union members participate own an additional 2.5 million shares.