A lawsuit was filed for investors in shares of Diamond Resorts International Inc (NYSE:DRII) in connection with the proposed takeover and NYSE:DRII stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 10/31/2016 -- The Shareholders Foundation announced that an investor who currently holds shares of Diamond Resorts International Inc (NYSE:DRII), filed a lawsuit against the takeover of Diamond Resorts International Inc . by affiliates of certain funds managed by affiliates of Apollo Global Management, LLC at $30.25 per share.
Investors who purchased shares of Diamond Resorts International Inc (NYSE:DRII) and currently hold any of those NYSE:DRII shares have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call 858-779-1554.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NYSE:DRII stockholders by agreeing to sell Diamond Resorts International Inc too cheaply via an unfair process to affiliates of certain funds managed by affiliates of Apollo Global Management, LLC
On June 29, 2016, Diamond Resorts International Inc (NYSE:DRII) announced that it has entered into an Agreement and Plan of Merger with affiliates of certain funds managed by affiliates of Apollo Global Management, LLC pursuant to which those Funds will acquire Diamond Resorts International Inc (NYSE:DRII) for $30.25 per share or approximately $2.2 billion.
However, plaintiff claims that the proposed consideration NYSE:DRII shareholders will receive is grossly inadequate and undervalues Diamond Resorts International Inc. Indeed, at least one analyst has set its high target price at $35.00 per share and NYSE:DRII shares traded in 2015 as high as $34.65 per share. Furthermore, Diamond Resorts International Inc reported that its annual Total Revenue rose from $844.57 million in 2104 to $954.04 million in 2015 and that its Net Income increased from $59.46 million in 2014 to $149.48 million in 2015. In addition, the plaintiff alleges that the process is also unfair to Diamond Resorts International stockholders.
On October 28, 2016, NYSE:DRII shares closed at $29.96 per share.
Those who are current investors in Diamond Resorts International Inc shares have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com