LaSalle Hotel Properties' board of trustees determined that Pebblebrook Hotel Trust's unsolicited acquisition offer for the company constitutes a superior proposal to the takeover deal it reached with affiliates of Blackstone Group LP and informed Blackstone of its intention to terminate the deal.
Under the terms of the merger agreement, the notice commenced a four-business-day period during which LaSalle may not change its recommendation and Blackstone may revise its offer.
Under Pebblebrook's offer, the hotel real estate investment trust would acquire LaSalle with a per-share consideration of 0.92 Pebblebrook common share. LaSalle shareholders have the option to receive a cash payment of $37.80 per share, subject to a prorated maximum of 30% of the consideration.
Blackstone would acquire all outstanding LaSalle shares for $33.50 per share in an all-cash transaction valued at $4.8 billion.