Acquisition of Ameristar Casinos, Inc. by Pinnacle Entertainment,
Inc. May Not Be in Ameristar Casinos Shareholders' Best Interests
SAN DIEGO and LAS VEGAS,
Dec. 21, 2012 /PRNewswire/
-- Shareholder rights attorneys at Robbins Umeda LLP are
investigating possible breaches of fiduciary duty and other
violations of the law by members of the board of directors of
Ameristar Casinos, Inc. (NASDAQ: ASCA) in connection with their
efforts to sell the company to Pinnacle Entertainment, Inc. (NYSE:
PNK).
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On December 21, 2012, Ameristar
Casinos and Pinnacle Entertainment announced they had entered into
a definitive merger agreement under which Pinnacle Entertainment
will acquire Ameristar Casinos through an all cash offer.
Ameristar Casinos shareholders will receive $26.50 per share. The transaction is
expected to close in the third quarter of 2013.
The Board of Directors' Actions May Prevent Ameristar
Casinos Shareholders from Receiving the Maximum Value for Their
Stock
Robbins Umeda LLP's investigation focuses on whether the board
of directors at Ameristar Casinos is undertaking a fair process to
obtain maximum value and adequately compensate its shareholders.
The $26.50 per share offer price is
substantially below the $31 target
price maintained by an analyst at Knight Equity Research, and the
$29 price set by an analyst at
Imperial Capital. Further, on October
31, 2012, Ameristar Casinos announced that the company's
third quarter of 2012 "was one of Ameristar's most profitable
ever." Given, these facts, the firm is examining whether the
board of directors' decision to sell Ameristar Casinos for
$26.50 per share is fair to
shareholders and maximizes the value for their shares.
Ameristar Casinos shareholders have the option to file a class
action lawsuit against the company to secure the best possible
price for shareholders and the disclosure of material information
so shareholders can vote on the transaction in an informed manner.
If you own Ameristar Casinos stock and are interested in
information about your rights and potential remedies, contact
Darnell R. Donahue at (800)
350-6003, ddonahue@robbinsumeda.com, or via the shareholder
information form on the firm's website.
Robbins Umeda LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits, and has helped its
clients realize more than $1 billion
of value for themselves and the companies in which they have
invested. For more information, please go to
http://www.robbinsumeda.com.
Press release link:
http://www.robbinsumeda.com/shareholders-rights-blog/ameristar-casinos-inc/
Attorney Advertising. Past results do not guarantee a similar
outcome.
Contact:
Robbins Umeda LLP
Darnell R. Donahue
ddonahue@robbinsumeda.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsumeda.com
SOURCE Robbins Umeda LLP