Businessweek

Morgans Hotel Group Co. (NasdaqGM:MHGC) said it had rejected two takeover bids from a large international hotel company in the past six months, but can look at inreresting offers. Morgans said in a statement that the suitor, which it did not name, had offered in November 2013 to buy all of its outstanding common stock for $7.50 per share in cash. The company's board responded that it was not interested at the proposed price, but that it might entertain a proposal at a significantly higher price," Morgans said. It added that it had received a similar proposal from the same suitor at the same price in February 2013, and its position remained unchanged

Morgans Hotel Group Co. reported consolidated earnings results for the first quarter ended March 31, 2013. For the quarter, the company reported total revenues of $47,681,000 compared to $40,829,000 a year ago. Operating loss was $2,118,000 compared to $7,720,000 a year ago. Loss before income tax expense was $11,243,000 compared to $14,614,000 a year ago. Net loss from continuing operations was $11,443,000 or $0.43 basic and diluted per share compared to $14,807,000 or $0.55 basic and diluted per share a year ago. Net loss attributable to common stockholders was $14,330,000 or $0.44 basic and diluted per share compared to $16,931,000 or $0.55 basic and diluted per share a year ago. EBITDA was $7,374,000 compared to $79,000 a year ago. Adjusted EBITDA was $7,452,000 compared to $952,000 a year ago. This $6.5 million increase was due primarily to strong performances at the company's two fee-owned hotels, Delano South Beach and Hudson, as well as an increase in management fees and lower corporate expenses. The company’s consolidated debt at March 31, 2013, excluding the Clift lease, was $455.6 million, which includes $25.0 million outstanding on the company's revolving credit facility, which is classified as debt held for sale on the company's consolidated balance sheet, and $18.0 million of promissory notes issued in connection with the company's acquisition of The Light Group, which is classified as debt of discontinued operations on the company's consolidated balance sheet. The company reiterated earnings guidance for the year 2013. The company increased its projected RevPAR growth at system-wide comparable hotels to 8% to 10% in 2013 from its original growth projection of 6% to 8%. The company believes that it could potentially increase EBITDA at Hudson by $10 million in 2013 given the $6 million of EBITDA lost in 2012 due to rooms out of service during renovations, the new SRO units and the new restaurant, and that there is potential for further EBITDA growth at Hudson from the upgraded room product.

Morgans Hotel Group Co., Q1 2013 Earnings Call, Apr 30, 2013

Morgans Hotel Group Co. announced that they will report Q1, 2013 results at 5:00 PM, Eastern Standard Time on Apr 29, 2013

OTK Associates LLC, the stockholder of Morgans Hotel Group Co. with 13.9% of the outstanding common stock of the company, disclosed that it has filed a motion to join a derivative lawsuit filed in Delaware Chancery Court to stop a self-serving recapitalization that the company is rushing to consummate in advance of a stockholder meeting initially scheduled for May 15, 2013.