BETHESDA, Md.--(BUSINESS WIRE)--
Pebblebrook Hotel Trust (NYSE: PEB) (the “Company”) today responded to
LaSalle Hotel Properties’ (“LaSalle”) announcement that it has entered
into a merger agreement with Blackstone at a price of $33.50 per share,
a significantly lower price than Pebblebrook has been willing to pay.
Pebblebrook is proposing to merge with LaSalle at a fixed exchange ratio
of 0.9200 Pebblebrook common share for each LaSalle common share, with
the option for LaSalle shareholders to elect to receive cash up to a
maximum of 20% in the aggregate (subject to pro rata cutbacks). Based on
Pebblebrook’s closing share price on May 18, 2018, this implies an offer
price of $35.89 per LaSalle common share, representing a premium of 7.1%
over Blackstone’s offer of $33.50 and a premium of 47.1% above LaSalle’s
closing price on March 27, 2018, which is the day before Pebblebrook
publicly disclosed its initial offer of a business combination with
LaSalle.
“Our offer is substantially superior to the merger agreement that
LaSalle has reached with Blackstone,” said Jon Bortz, Chairman,
President and Chief Executive Officer of Pebblebrook Hotel Trust. “We
continue to believe that our offer maximizes immediate and long-term
value for LaSalle’s shareholders. The combination of Pebblebrook and
LaSalle would create a hotel industry leader, particularly in the
independent and lifestyle segment, and it would allow shareholders of
both companies to benefit from Pebblebrook’s management of the combined
portfolio and the synergies that would result from bringing these two
highly similar companies together. We are disappointed that LaSalle’s
board of trustees has chosen not to pursue the unique opportunity that
we presented.”
About Pebblebrook Hotel Trust
Pebblebrook Hotel Trust is a publicly traded real estate investment
trust (“REIT”) organized to opportunistically acquire and invest
primarily in upper upscale, full-service hotels located in urban markets
in major gateway cities. The Company owns 28 hotels, with a total of
6,973 guest rooms. The Company owns hotels located in 9 states and the
District of Columbia, including: Los Angeles, California (Beverly Hills,
Santa Monica and West Hollywood); San Diego, California; San Francisco,
California; Washington, DC; Coral Gables, Florida; Naples, Florida;
Buckhead, Georgia; Boston, Massachusetts; Minneapolis, Minnesota;
Portland, Oregon; Philadelphia, Pennsylvania; Nashville, Tennessee;
Columbia River Gorge, Washington; and Seattle, Washington. For more
information, please visit us at www.pebblebrookhotels.com
and follow us on Twitter at @PebblebrookPEB.
For additional information or to receive press releases via email,
please visit our website at www.pebblebrookhotels.com
View source version on businesswire.com: https://www.businesswire.com/news/home/20180521005603/en/
Pebblebrook Hotel Trust
Raymond D. Martz, 240-507-1330
Chief
Financial Officer
Source: Pebblebrook Hotel Trust