Great Wolf Resorts has received an offer from KSL Capital Partners to buy the company for $7 per share, according to Reuters. This comes days after Great Wolf’s largest investor rejected an earlier bid made by Apollo Global.
Reuters – Great Wolf Resorts said late on Sunday it received an offer from KSL Capital Partners to buy the company for $7 per share, days after Great Wolf’s largest investor rejected an earlier bid made by Apollo Global.
Great Wolf said it has determined that the KSL offer constitutes a “superior proposal” and has provided written notice to Apollo it is prepared to terminate the merger agreement.
Great Wolf’s largest investor, HG Vora Capital, had recommended shareholders reject Apollo’s $6.75 per share bid that values the company at $225.7 million, because the hedge fund expected higher offers.
Apollo now has the right to make adjustments within three business days and the subsequent offer must be no less favorable than the KSL proposal, Great Wolf said.
A decision on the proposals will be made at the conclusion of the three business days and Great Wolf said that the board is not making any recommendation at this time with respect to the KSL offer.