NEW YORK, NY / ACCESSWIRE / July 12, 2017 / Wolf Haldenstein Adler Freeman & Herz LLP announces that it is investigating the acquisition of ClubCorp Holdings, Inc. ("ClubCorp") (NYSE: MYCC) by Apollo Global Management, LLC. On July 9, 2017, the two companies announced the signing of a definitive merger agreement pursuant to which Apollo Global Management will acquire ClubCorp. Under the terms of the agreement, ClubCorp shareholders will receive $17.12 for each share of ClubCorp common stock.
Investors who currently hold shares of ClubCorp Holdings, Inc. and held prior to the July 9th merger announcement, are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. ClubCorp shareholders have the option to file a class action lawsuit to ensure the Board of Directors obtains the best possible price for shareholders and the disclosure of all material information.
As recently as April 12, 2017, ClubCorp reported strong earnings results for its first quarter of 2017. Revenue increased $6.4 million to $221.3 million, up 3% from the same period in the previous year, while net loss decreased $0.8 million to $7.5 million, down 9.7% from the same period in the previous year.
Additionally, ClubCorp beat analyst estimates for adjusted EPS and adjusted net income in two of its last four quarters. In commenting on these results, ClubCorp's Chief Executive Officer, Eric Affeldt, remarked, "[w]e are pleased to deliver our twelfth consecutive quarter of revenue and adjusted EBITDA growth. As we celebrate ClubCorp's 60th anniversary this year, the Company remains firmly committed to executing its three-pronged growth strategy focused on organic growth, reinvention and acquisitions."
As reported in Bloomberg on July 10th, Stifel analyst Steven Wieczynski feels that the $17.12 takeout price is "extremely low." The announced acquisition price equates to a 7.5x multiple on Stifel's 2018 EBITDA estimate, which Wieczynski contends still is conservative. He opines that the company is worth a higher multiple and the company should be sold for something closer to $19-20 per share.
Wolf Haldenstein is investigating whether the ClubCorp Board of Directors' decision to sell the company now at a low price per share rather than allow shareholders to continue to participate in the company's continued success and future growth prospects is in shareholders' best interests.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago, and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735, via e-mail at classmember@whafh.com, or visit our website at www.whafh.com.
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Contact:
Wolf Haldenstein Adler Freeman & Herz LLP
Gregory Stone, Director of Case and Financial Analysis
Email: gstone@whafh.com or classmember@whafh.com
Tel: (800) 575-0735 or (212) 545-4774
Attorney Advertising: Prior results do not guarantee or predict a similar outcome.
SOURCE: Wolf Haldenstein Adler Freeman & Herz LLP
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