According to the Complaint, Empire Resorts was organized as a Delaware corporation on March 19, 1993, and since that time has served as a holding company for various subsidiaries engaged in the hospitality and gaming industries. The Company owns and operates Resorts World Catskills, an all-season integrated destination casino resort located in Sullivan County, New York, including the 101-room lifestyle hotel The Alder adjacent to the casino. The Company also owns and operates Monticello Raceway, a harness horseracing facility that began racing operations in 1958 in Monticello, New York.
This action stems from a proposed transaction announced on August 19, 2019, pursuant to which Empire Resorts, Inc. will be acquired by affiliates of Kien Huat Realty III Limited and Genting Malaysia Berhard. Kien Huat currently holds approximately 86% of the Company’s outstanding shares of common stock.
On August 18, 2019, Empire Resorts’ Board of Directors caused the Company to enter into an agreement and plan of merger with Hercules Topco LLC and Hercules Merger Subsidiary, Inc. Pursuant to the terms of the Merger Agreement, Empire Resorts’ stockholders will receive $9.74 in cash for each share of Empire Resorts common stock they own.
This case was voluntarily dismissed on November 7, 2019.
On October 11, 2019, Defendants filed a proxy statement with the United States Securities and Exchange Commission in connection with the Proposed Transaction, which scheduled a stockholder vote on the Proposed Transaction for November 13, 2019.
The Complaint alleges that the Proxy Statement omits material information with respect to the Proposed Transaction, which renders the Proxy Statement false and misleading.