Silverleaf Resorts being Sold

Click the headline to read the entire story, Silverleaf owners may be looking at more fees and assessments.
 
Press Release Source: Silverleaf Resorts, Inc. On Thursday February 3, 2011, 6:56 pm EST

DALLAS--(BUSINESS WIRE)-- Silverleaf Resorts, Inc. (NASDAQ:SVLF - News), a leader in the development, marketing and operation of timeshare resorts, announced today that it has entered into a definitive agreement to be acquired by SL Resort Holdings Inc., an affiliate of Cerberus Capital Management, L.P. (“Cerberus”).


The transaction has been approved by Silverleaf’s Board of Directors, and the Board will be recommending that Silverleaf’s shareholders approve the transaction. Under the agreement, Silverleaf shareholders will receive, at the closing, $2.50 in cash for each share of Silverleaf common stock they own, representing a premium of approximately 75% based on the closing trading price of $1.43 of Silverleaf common stock on February 3, 2011. Cerberus has agreed to provide equity financing for the full amount of the merger consideration.


Thomas Morris, Executive Vice President – Capital Markets and Strategic Planning of Silverleaf said, “Our Board of Directors and our management team believe that following a review of strategic alternatives this merger transaction is the best approach to maximize shareholder value and is in the best interests of Silverleaf’s shareholders, timeshare owners, and employees. We look forward to working with Cerberus to effect a smooth transition.”

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