- LaSalle Hotel Properties (NYSE:LHO) +1% to $35.50 in premarket trading after Pebblebrook Hotel Trust (PEB) sweetens its bid for LHO again in an effort to thwart Blackstone's (BXMT) agreement to buy LHO for $33.50 per share. Earlier, LHO shares touched $36.38.
- The exchange ratio of PEB's latest bid remains the same as its prior proposal, 0.92 PEB common share per LHO share; but PEB offers to pay a fixed price of $37.80 a share in cash for up to 20% of LHO shares. The stock exchange ratio implies a price of $37.80 per share, based on based on Pebblebrook’s 5-day VWAP as of June 8, 2018.
- Pebblebrook’s offer takes into account the $112M cost of the termination fee LaSalle agreed to pay to Blackstone.
- The current offer represents a premium of 13% over LHO's agreement with Blackstone, Pebblebrook says.
- Update at 9:22 a.m. EDT: LaSalle received the new PEB proposal and says its board hasn't yet determined if it constitutes a superior proposal to the BXMT merger agreement. LHO says the board will respond "in due course."
- Source: Press Release
- Previously: Pebblebrook sweetens LHO offer with cash component, more shares (May 21)