Empire Resorts Announces Receipt of Letter from Controlling Stockholder
25 Juillet 2019 - 6:40PM
Business Wire
Empire Resorts, Inc. (NasdaqGM: NYNY) (the "Company"), today
announced that the special committee of its board of directors (the
"Board") has received a letter, dated July 25, 2019 (the "Letter"),
from Kien Huat Realty III Limited (“KH”), its controlling
stockholder. KH, which currently owns approximately 86% of the
outstanding shares of the Company’s common stock, indicated, among
other things, its willingness to entertain an invitation from the
Company to acquire all outstanding equity of the Company not
already owned by KH. The Letter further indicated that, at this
time, KH did not intend to provide further equity or debt financing
to the Company, beyond its obligations under the Commitment Letter,
dated November 5, 2018 and as last amended on May 7, 2019, by and
between the Company and KH, while the Company remains a public
company. A copy of the Letter is attached as Exhibit 99.1 to the
Company's Current Report on Form 8-K, which will be filed with the
Securities and Exchange Commission today.
As previously announced, the Board recently formed a special
committee comprised of independent, disinterested directors to
evaluate strategic alternatives. The special committee, with the
assistance of Moelis & Company LLC and Paul, Weiss, Rifkind,
Wharton & Garrison LLP, its financial and legal advisors,
respectively, will consider the Letter and any response thereto in
connection with its ongoing review of strategic alternatives.
The Company cautions the Company's stockholders and others
considering trading the Company's securities that the Company has
just received the Letter and has not had an opportunity to
carefully review and evaluate the Letter or make any decision with
respect to the Company's response to the Letter There can be no
assurance that any definitive agreement will be executed relating
to a transaction with KH or any other party or that any transaction
with KH or any other party will be approved or consummated. The
Company does not undertake any obligation to provide any updates
with respect to this or any other transaction, except as required
under applicable law.
Important Notice Regarding Forward-Looking Statements
The information in this press release contains forward-looking
statements. In some cases, you can identify forward-looking
statements by the use of words such as “may,” “could,” “expect,”
“intend,” “plan,” “seek,” “anticipate,” “believe,” “estimate,”
“predict,” “potential,” “continue,” “likely,” “will,” “would,” and
variations of these terms and similar expression, or the negative
of these terms or similar expressions. These statements are based
on management’s current beliefs, expectations, plans, assumptions
and objectives of the Company and are subject to significant risks
and uncertainties. All forward-looking statements speak only as of
the date as of which they are made. These statements are not
guarantees and involve certain risks, uncertainties and assumptions
concerning future events that are difficult to predict. Factors
that may cause actual results to differ materially from current
expectations include, but are not limited to, risks related to the
expected timing and likelihood of completion of a potential
transaction with KH or any other party, including the risk that the
potential transaction may not occur, and the risk that any
announcements relating to the potential transaction could have
adverse effects on the market price of the Company’s. Risk factors
are detailed in the Company’s Annual Report on Form 10-K for the
fiscal year ended December 31, 2018 and subsequent reports filed
with the Securities and Exchange Commission (“SEC”) and will be
found in the filings that may be filed with the SEC by the Company
and/or KH or a third party if a negotiated transaction is agreed
to. Such reports are available on the SEC’s website (www.sec.gov).
We caution you not to place undue reliance on any forward-looking
statements, which are made as of the date hereof or as otherwise
specified herein. The Company undertakes no obligation to update
any of these forward-looking statements to reflect actual results,
new information or future events, changes in assumptions or changes
in other factors affecting forward-looking statements, except to
the extent required by applicable law. If we update one or more
forward-looking statements, no inference should be drawn that we
will make additional updates with respect to those or other
forward-looking statements.
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version on businesswire.com: https://www.businesswire.com/news/home/20190725005625/en/
Resorts World Catskills Talya Regan, 845-428-7200, EXT. 1646
Public Relations Manager tshlang@rwcatskills.com
Empire Resorts (NASDAQ:NYNY)
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