Originally Posted by
pinniped
Isn't "willingness to be acquired" simply a function of the offer price, the current stock price, and the projected earnings and capital growth of the company going forward? The problem with 1 voter (or is it 2 voters?) controlling 75% of the votes is that your price has to fit *their* forecast model as opposed the forecast model of a bunch of institutional investors, which would likely normalize around a common and reasonably agreeable price.
There isn't much room to offer above current stock price for a buyout of Hyatt. The current PE is ~28. How much of a premium can be added to the current stock price?
Tom Pritzker is a multibillionaire who, by all external appearances, wants to run a hotel chain. Many of his siblings and cousins are selling their Hyatt holdings (the last of family sales will be done by the end of this year) and he and his sister Gigi have been buying family Hyatt stock over the years. If Tom and Gigi were interested in selling their Hyatt holdings, one would think that they would have done so by now. But it's hard to point to money being a motivating factor for them - how many billions does one need in life?
If Hilton's looking at acquiring additional properties, there are other hotel chains that could be bought for much more reasonable prices.