Bethesda, Md. — Shareholders of RLJ Lodging Trust and FelCor Lodging Trust Incorporated have approved FelCor’s merger with and into a subsidiary of RLJ in a stock-for-stock transaction.
“[This] vote solidifies our position as the premier lodging REIT within the most profitable segment of the hotel market,” says Robert L. Johnson, executive chairman of RLJ. “We are very pleased with the overwhelming level of support that we received from both RLJ and FelCor shareholders. We look forward to closing this transaction at the end of the month and starting to unlock the strategic benefits of the merger.”
In separate special shareholder meetings, approximately 78 per cent of RLJ voters and 99 per cent of FelCor voters cast in favour of the merger.
The merger agreement, which was originally announced in April, is expected to close on or about August 31, subject to the satisfaction or waiver of all closing conditions related to the transactions. As a result of the merger, each share of FelCor common stock will be converted into 0.362 RLJ common shares.