CAS Investment Partners Files Preliminary Proxy Statement to Solicit Votes in Opposition to Sale of At Home Group to Hellman & Friedman

Rhea-AI Summary

CAS Investment Partners, owning about 17% of At Home Group Inc. (NYSE: HOME), has filed a preliminary proxy statement opposing the company's acquisition by Hellman & Friedman at $36 per share. CAS argues this price undervalues the company, claiming a fair valuation should be around $70 per share. CAS plans to advocate for stockholders' interests and is open to discussions with At Home's Board, which has yet to engage. The firm urges stockholders to read the upcoming proxy statements, emphasizing the importance of the decision regarding the proposed sale.

Positive

• CAS Investment owns approximately 17% of At Home's shares, indicating significant stakeholder interest.
• CAS believes At Home's fair value is $70 per share, suggesting potential for higher valuation.

Negative

• CAS opposes the acquisition price of $36 per share, stating it grossly undervalues At Home.
• The Board's perceived dismissal of At Home's business improvements and growth opportunities may lead to shareholder discontent.

CAS Investment Partners, LLC (together with its affiliates, “CAS” or “we”), which beneficially owns approximately 17% of the outstanding common stock of At Home Group Inc. (NYSE: HOME) (“At Home” or the “Company”), today announced that it has filed a preliminary proxy statement with the U.S. Securities Exchange and Commission to be used to solicit votes in opposition to the sale of the Company to funds advised by Hellman & Friedman LLC (collectively, “H&F”). This follows CAS sending a May 16^th letter to At Home’s Board of Directors (the “Board”) regarding its opposition to the proposed transaction.

Clifford A. Sosin, Founder and Portfolio Manager of CAS, commented:

“CAS has made clear that it will not sit idly by as the Board tries to push through a transaction that grossly undervalues At Home at just $36 per share. Our extensive analysis leads us to believe that a much more realistic valuation is $70 per share or more. While the Board seems comfortable writing off At Home’s substantial business improvements and significant growth opportunities, we suspect that a critical mass of stockholders are not. We look forward to advocating for stockholders’ best interests and vigorously opposing what is a seemingly unjustifiable fire sale to H&F.”

As previously disclosed, CAS is willing to engage in good faith and present its analysis to At Home’s Board. CAS is yet to receive an invitation to privately speak with At Home or H&F.

About CAS Investment Partners, LLC

CAS Investment Partners, LLC is a value-focused investment management firm with offices in New York City and Connecticut. The firm was founded in 2012 by Clifford A. Sosin.

Certain Information Concerning the Participants

CAS Investment Partners, LLC (“CAS Investment”), together with the other Special Meeting Participants (as defined below), has filed a preliminary proxy statement and accompanying proxy card with the Securities and Exchange Commission ("SEC") to be used to solicit votes against the proposed acquisition of At Home Group Inc., a Delaware corporation (the “Company”), by affiliates of investment funds advised by Hellman & Friedman LLC at the special meeting of stockholders (the “Special Meeting”).

CAS INVESTMENT STRONGLY ADVISES ALL STOCKHOLDERS OF THE COMPANY TO READ THE PROXY STATEMENTS AND OTHER PROXY MATERIALS AS THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. SUCH PROXY MATERIALS WILL BE AVAILABLE AT NO CHARGE ON THE SEC’S WEB SITE AT HTTP://WWW.SEC.GOV. IN ADDITION, THE PARTICIPANTS IN THESE PROXY SOLICITATIONS WILL PROVIDE COPIES OF THE PROXY STATEMENTS WITHOUT CHARGE, WHEN AVAILABLE, UPON REQUEST. REQUESTS FOR COPIES SHOULD BE DIRECTED TO THE PARTICIPANTS’ PROXY SOLICITOR.

The participants in the proxy solicitation in connection with the Special Meeting are anticipated to be CAS Investment, Sosin Master, LP (“Sosin Master”), CSWR Partners, LP (“CSWR”), Sosin LLC and Clifford Sosin (collectively, the “Special Meeting Participants”).

As of the date hereof, Sosin Master beneficially owns directly 7,903,174 shares of Common Stock, par value $0.01 per share (the “Common Stock”). As of the date hereof, CSWR beneficially owned 3,175,561 shares of Common Stock. CAS Investment, as the investment manager of Sosin Master and CSWR, may be deemed the beneficial owner of the (i) 7,903,174 shares of Common Stock owned by Sosin Master and (ii) 3,175,561 shares of Common Stock owned by CSWR. Sosin LLC, as the general partner of Sosin Master and CSWR, may be deemed the beneficial owner of the (i) 7,903,174 shares of Common Stock owned by Sosin Master and (ii) 3,175,561 shares of Common Stock owned by CSWR. Mr. Sosin, as the managing member of CAS Investment, may be deemed the beneficial owner of the (i) 7,903,174 shares of Common Stock owned by Sosin Master and (ii) 3,175,561 shares of Common Stock owned by CSWR.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210524005212/en/

FAQ

What does CAS Investment Partners oppose regarding At Home Group Inc. (HOME)?

CAS Investment Partners opposes the proposed acquisition of At Home by Hellman & Friedman at $36 per share, claiming it undercuts the company's value.

What share price does CAS believe At Home should be valued at?

CAS believes At Home should be valued at around $70 per share, significantly higher than the proposed acquisition price.

What percentage of At Home shares does CAS Investment own?

CAS Investment owns approximately 17% of At Home Group Inc.'s outstanding common stock.

Has CAS Investment engaged with At Home's Board about the acquisition?

CAS is willing to engage with At Home's Board but has yet to receive an invitation for discussions.

What action has CAS taken regarding the acquisition of At Home Group Inc.?

CAS has filed a preliminary proxy statement with the SEC to solicit votes against the acquisition of At Home by Hellman & Friedman.