Energy News / Shareholders Foundation, Inc.

NYSE:RGC Investor Alert: Lawsuit Filed in Effort to Halt the Takeover of Regal Entertainment Group

Via: ReleaseWire

Updated 11:15 AM CST, Wed, February 07,2018

A lawsuit was filed for investors in shares of Regal Entertainment Group (NYSE:RGC) in connection with the proposed takeover and NYSE:RGC stockholders should contact the Shareholders Foundation.

San Diego, CA -- (SBWIRE) -- 02/07/2018 -- The Shareholders Foundation announces that an investor, who currently holds shares of Regal Entertainment Group (NYSE:RGC), filed a lawsuit against the acquisition of Regal Entertainment Group. by Cineworld Group PLC is unfair.

Investors who purchased shares of Regal Entertainment Group (NYSE:RGC) should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The plaintiff alleges that the defendants breached their fiduciary duties owed to NYSE:RGC stockholders by agreeing to sell Regal Entertainment Group cheaply via an unfair process to Cineworld Group PLC.

On December 5, 2017, Regal Entertainment Group (NYSE:RGC) announced that it has entered into a merger agreement with Cineworld Group PLC for Cineworld Group PLC to acquire Regal Entertainment Group (NYSE:RGC). Under the terms of the Agreement, Regal Entertainment Group (NYSE:RGC) stockholders are to receive $23.00 in cash for each share of Class A and Class B common stock, for a total transaction value of $5.9 billion, including the assumption of debt and net of cash acquired.

However, plaintiff claims that the proposed consideration NYSE:RGC shareholders will receive is grossly inadequate and undervalues Regal Entertainment Group. Indeed, at least one analyst has set the high price target for NYSE:RGC shares at $24.75 per share. Regal Entertainment Group reported that its annual Total Revenue rose from over $3.12 billion in 2015 to over $3.19 billion in 2016 and that its Net Income increased from $153.40 million in 2015 to $170.40 million in 2016.

In addition, the plaintiff alleges that the process is also unfair NYSE:RGC stockholders. Indeed, Global City Holdings B.V. ("GCH") and the trustee of trusts of which Cineworld's Chairman, Anthony Bloom, is a potential discretionary beneficiary, collectively owning approximately 28.8% of Cineworld's ordinary shares, have already signed irrevocable undertakings to vote in favor of the transaction and rights offering.

Those who are current investors in Regal Entertainment Group (NYSE:RGC) shares have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com

For more information on this press release visit:
http://www.sbwire.com/press-releases/nysergc-investor-alert-lawsuit-filed-in-effort-to-halt-the-takeover-of-regal-entertainment-group-928251.htm

Media Relations Contact
Michael Daniels
858-779-1554
Email: Click to Email Michael Daniels
Web: http://www.ShareholdersFoundation.com