An investigation on behalf of investors of MTR Gaming Group, Inc. (NASDAQ:MNTG) in connection with the proposed takeover was announced and NASDAQ:MNTG stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 09/11/2013 -- An investigation on behalf of investors, who currently hold shares of MTR Gaming Group, Inc. (NASDAQ:MNTG) shares, was announced concerning whether the takeover of MTR Gaming Group, Inc. by Eldorado Resorts, LLC for $5.15 per NASDAQ:MNTG share is unfair to MTR Gaming stockholders.
Investors who purchased shares of the MTR Gaming Group, Inc. (NASDAQ:MNTG) and currently hold any of those NASDAQ:MNTG shares have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The investigation by a law firm concerns whether certain officers and directors of MTR Gaming Group, Inc. breached their fiduciary duties owed NASDAQ:MNTG investors in connection with the proposed acquisition.
On September 9, 2013, MTR Gaming Group, Inc. and Eldorado Resorts, LLC announced that they have entered into an agreement under which MTR Gaming Group will combine with the parent company of Eldorado Resorts, LLC in a stock merger. MTR Gaming Group, Inc. said that as part of the transaction, a cash election option will be offered at $5.15 per share for up to 5.8 million shares to MTR Gaming’s current stockholders and that MTR Gaming’s remaining common shares will be exchanged for shares in the combined new company.
However, given that at least one analyst has set the high target price for NASDAQ:MNTG shares at $7.00 per share, the investigation concerns whether the $5.15-offer is unfair to NASDAQ:MNTG stockholders. More specifically, the investigation concerns whether the MTR Gaming Group Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.
MTR Gaming Group, Inc. reported that its annual Total Revenue rose from $428.08 million in 2011 to $490.00 million in 2012 and that its respective Net Loss declined from $50.37 million to $5.72 million.
Shares of MTR Gaming Group, Inc. grew from $1.58 per share in November 2011 to as high as $4.99 per share in June 2012.
On September 10, 2013, NASDAQ:MNTG shares closed at $4.60 per share.
Those who are current investors in MTR Gaming Group, Inc. (NASDAQ:MNTG) and purchased their MTR Gaming Group shares prior to the announcement, have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego