logo
Share SHARE
FONT-SIZE Plus   Neg

Great Wolf Says KSL Not To Lift Offer Further; Recommends Apollo's Revised Offer

Great Wolf Resorts, Inc. (WOLF) late Friday said that private equity firm KSL Capital Partners, which was part of a bidding battle to acquire the waterpark resorts operator, informed its withdrawal from making further proposals.

Great Wolf earlier today has agreed to alternative investment manager Apollo Global Management LLC's (APO) revised cash offer of $7.85 per share, which topped a bid from KSL for the third time this month. The company urged its shareholders to accept that offer. Apollo's revised tender offer is scheduled to expire on Friday, May 4.

Great Wolf said the sweetened offer represents a premium of 87 percent over Great Wolf's closing stock price on the day prior to the announcement of Apollo's original offer on March 12. It also represents a premium of 171 percent to the six-month average of Great Wolf's share price prior to the initial announcement.

Apollo's just previous offer was $7 per share. It was in mid March that Apollo made its initial offer to acquire Great Wolf for $5 per share. However, early April, KSL made a superior proposal of $6.25 per share.

The tussle to acquire Great Wolf, which operates a chain of indoor water parks, between Apollo and KSL had heated up this month, with Apollo lifting its bid to $6.75 per share and then to $7 per share to counter KSL's offers. Yesterday, KSL Capital raised its offer to $7.25 per share, the third attempt to acquire Great Wolf.

For Great Wolf, Deutsche Bank Securities Inc. is serving as financial advisor and Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal advisor.

Morgan Stanley & Co. LLC, UBS Investment Bank and Nomura Securities International, Inc. are serving as financial advisors to Apollo and Akin, Gump, Strauss, Hauer & Feld LLP is serving as legal advisor.

Great Wolf shares closed Friday's trading at $8.06, up $0.64 or 8.63 percent. In the extended trading, shares lost $0.04 or 0.50 percent to $8.02.

Apollo shares settled at $12.99, down $0.52 or 3.85 percent.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
LoopUp Group, a UK-based startup that provides software technology for conference calls and remote meetings, on Wednesday became the first technology company to float shares on the London Stock Exchange since Britain's decision to leave the European Union. LoopUP raised £8.5 million by selling shares... Qatar's sovereign wealth fund has acquired a 9.9 percent stake in the company that owns the iconic Empire State Building, which was once the world's tallest building. Empire State Realty Trust, which owns the 102 storied, 1,454-foot skyscraper, said Tuesday that an affiliate of Qatar Investment Authority or QIA has acquired a 9.9 percent interest in the company through a $622 million investment. Shares of Glencore International Plc. declined around 6 percent in London trading after the Commodities trader reported Wednesday wider pre-tax loss in its first half with weak revenues, amid lower commodity prices. Attributable net loss, however, narrowed from last year.
comments powered by Disqus
Follow RTT