- Despite scare tactics, last minute changes to the exchange offers, obtuse communications and a lack of transparency about the health of AHT, it appears holders of only ~40.7% of outstanding shares of common stock voted for the NYSE proposal to issue up to ~126M shares in the exchange offers.
- While the NYSE proposal passed without a clear majority of the outstanding common stockholders, the proposal to amend AHT's corporate charter, which would force the conversion of all preferred stock into common stock, did not receive enough votes.
- Cygnus Capital believes AHT's decision to adjourn the special meeting until October 30, 2020 to try to pass the charter amendment proposal is a waste of stockholder resources and AHT should refocus its efforts on exploring other strategic alternatives.
- Cygnus Capital continues to believe there is no urgent need to dilute common stockholders by ~94% and the exchange offers should be immediately terminated.
- Cygnus Capital urges common stockholders to vote AGAINST the charter amendment proposal.
PR Newswire
ATLANTA, Oct. 7, 2020
