Securities lawyers at Dunnam & Dunnam are examining the Strategic Hotels and Resorts Inc (NYSE:BEE)’s board pertaining to a buyout reported for just $14.25 per share. The concerned investors are advised to contact attorney Mr. Hamilton Lindley.

The investigation

The probe focuses upon the finalized value of the deal. An analyst targeted the stock price at $15.19 per share, and the premium is just 4.8%, making this deal appear undervalued. The potential shareholder legal proceeding will seek to ensure company shareholders get the highest reasonable price for their stock and also all relevant information should be disclosed.

The matter

Blackstone Real Estate Partners VIII LP agreed to acquire Strategic Hotels in a deal valued around $4 billion. The deal was stated as the latest move by the real estate investor firm, which has flexed its muscles lately. As per the reported deal, Blackstone will buy all shares outstanding of company and membership units of the subsidiary firm, Strategic Hotels Funding LLC. Including debt, the value of the acquisition deal is nearly $6 billion.

The expert speaks

Raymond L. Gellein, the CEO of Strategic Hotels and Resorts Inc (NYSE:BEE), said that the board thoroughly assessed several alternatives over the past few years, and this offer from Blackstone is seen as enhancing stockholder value. The deal is anticipated to be completed by 1Q2016, subject to a stockholders vote to take place in near term.

The news

In August, the company reported its board was exploring numerous alternatives including a potential sale. The PR came after the disclosure that Bill Gates’s company Cascade Investment Inc. bought 1.7 million shares of the investment trust for as much as $21.5 million, increasing its stake to 9.8%. Cascade suggested that it can approach Strategic for a potential deal or takeover, following reports that Strategic Hotels was exploring a sale. The company owns numerous luxury properties, including the Essex House and the Hotel del Coronado.