{ "docId": "019de06f-6a31-7029-ac21-27aee7f3fb16", "docSlug": "45a4cc2af2e4d41e9ed3f96c808bff69", "documentTitle": "Morgan Stanley | Investment Banking Pitch Book | 33 slides", "authorId": "morgan-stanley", "authorName": "Morgan Stanley", "documentKindSlug": "regulatory-filing", "documentKindLabel": "Regulatory filing", "sourceTypeSlug": "investment_bank", "sourceTypeLabel": "Investment bank", "presentationDate": "2016-05-01 00:00:00", "orientation": "landscape", "aspectRatio": 1.294673, "pageNumber": 4, "pageCount": 33, "prevPage": 3, "nextPage": 5, "slideType": "executive_summary", "function": "summarize", "density": "overcrowded", "nDataPoints": 6, "notes": "Project Roosevelt, Morgan Stanley deck, page 4.", "elementsJson": null, "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019de06f-6a31-7029-ac21-27aee7f3fb16/4", "deckHref": "/decks/019de06f-6a31-7029-ac21-27aee7f3fb16", "deckJsonHref": "/decks/019de06f-6a31-7029-ac21-27aee7f3fb16.json", "deckAnchorHref": "/decks/019de06f-6a31-7029-ac21-27aee7f3fb16#slide-4", "components": [ { "bbox": { "h": 0.035, "w": 0.917, "x": 0.083, "y": 0.696 }, "kind": "paragraph", "text": "On May 6, after completion of due diligence, Trousdale lowered their offer price to $2.10, citing deteriorating performance at the Hudson and the Delano and other factors as the rationale for such reduction", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "0b0886b7-ab27-455e-8cf2-023564ad35da", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.917, "x": 0.083, "y": 0.753 }, "kind": "paragraph", "text": "Negotiations continued through the weekend of May 7 – 8 (and included an increase in the offer price from $2.10 to $2.25 made late eastern time on May 8, which was characterized as the final offer)", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "1a0cab13-8dce-4b14-8e93-b25b96ba1dfa", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.917, "x": 0.083, "y": 0.318 }, "kind": "paragraph", "text": "Discussions reached a point of active negotiation of a merger agreement in late 2015 with “Trousdale”, a private hotel/restaurant/nightlife branded operator founded, owned and headed by Sam Nazarian", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2458ad5f-968f-4a4f-8b77-922150953add", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.937, "x": 0.063, "y": 0.375 }, "kind": "paragraph", "text": "Ultimately, negotiations with Trousdale ended and Monroe suspended the active solicitation; an asset marketing process was announced on December 7, 2015", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2f96f3a0-4f8a-4e02-bbb9-73fbc429c8a7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.018, "w": 0.937, "x": 0.063, "y": 0.602 }, "kind": "paragraph", "text": "Financial, legal, and tax diligence continued, including in-person meetings and asset tours", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "42f212ff-7a22-4cfa-be50-c2cb8d876db3", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.018, "w": 0.917, "x": 0.083, "y": 0.81 }, "kind": "paragraph", "text": "A summary of the transaction structure is provided in the following pages, as well as an analysis of Monroe as a stand-alone going concern", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "45b88059-5ef7-4716-8d78-869c47222508", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.917, "x": 0.083, "y": 0.639 }, "kind": "paragraph", "text": "Parties agreed to extend exclusivity through May 3 (and again through May 6), 2016, primarily to allow Trousdale and its financing partners to complete the financing commitment process", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "62b4eeb0-6c9c-4aa3-817d-7e0f1afc371b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.937, "x": 0.063, "y": 0.432 }, "kind": "paragraph", "text": "In March 2016, discussions with Trousdale re-commenced around an all-cash bid for purchase of Monroe's outstanding common shares at an initial proposed value of $2.25 per share", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "970b70cf-0fda-4e36-9b72-4b9dff8faded", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.937, "x": 0.063, "y": 0.262 }, "kind": "paragraph", "text": "From Mid-2014 through 2015, Monroe's Board of Directors explored strategic alternatives, including an active solicitation for proposals on a sale of the entire business or parts thereof from approximately 180 parties", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "c345c52b-b150-4a95-a2f2-c7f5062bc2e5", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.937, "x": 0.063, "y": 0.545 }, "kind": "paragraph", "text": "The Trousdale discussions resulted in a negotiated proposal for $2.40 per share and the decision by Monroe's board to enter into a 4-week exclusivity period with Trousdale beginning on March 29, 2016", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "c6712f9d-7413-4b43-9409-03c86dc7a499", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.917, "x": 0.083, "y": 0.488 }, "kind": "paragraph", "text": "Additional outreach was conducted by Monroe and its financial advisors with eleven parties judged to have sufficient potential interest in, and familiarity with, Monroe to respond quickly and credibly if they so desired", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "d61dddff-777c-4ba8-b549-e0dcbc06043d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.035, "w": 0.235, "x": 0.286, "y": 0.135 }, "kind": "title", "text": "Executive Summary", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "d1c113a6-8ea7-4f86-aec3-7447457a4b08", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [ { "name": "Executive summary", "slug": "executive-summary", "agent": null, "layer": "slide", "matchId": "e37d8896-3ab8-4279-8232-8d6102b1eafb", "evidence": "This slide provides a brief summary of key points and information.", "confidence": 0.9 } ], "frameworks": [], "arcBeats": [ { "to": 4, "from": 3, "beatId": "2238ee49-c82f-4997-ba62-1f99f47f64e9", "arcName": "The Consultant's Gambit", "arcSlug": "consultants-gambit", "beatName": "Situation & Context", "beatSlug": "consultants-gambit-situation-context", "evidence": "Provides an overview of the situation.", "position": 0, "confidence": 0.8, "parentBeatName": "Setup", "parentBeatSlug": "setup" } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }