October 6, 2016 (Shareholders Foundation) - An investigation on behalf of investors, who currently hold shares of Isle of Capri Casinos (NASDAQ:ISLE), was announced concerning whether the takeover of Isle of Capri Casinos by Eldorado Resorts, Inc for $23.00 per share is unfair to NASDAQ:ISLE stockholders.

The investigation by a law firm concerns whether certain officers and directors of Isle of Capri Casinos breached their fiduciary duties owed to NASDAQ:ISLE investors in connection with the proposed acquisition.

On September 19, 2016, Eldorado Resorts, Inc. (NASDAQ: ERI) and Isle of Capri Casinos, Inc. (NASDAQ: ISLE) announced that they have entered into a merger agreement whereby Eldorado Resorts, Inc will acquire all of the outstanding shares of Isle of Isle of Capri Casinos, Inc. for $23.00 in cash or 1.638 shares of Eldorado Resorts, Inc common stock, at the election of each Isle of Capri shareholder, reflecting total consideration of approximately $1.7 billion, inclusive of $929 million of long-term debt of Isle of Capri and its subsidiaries.

However, given that certain stockholders of Eldorado Resorts and Isle of Capri who control approximately 24% and 35% of the outstanding shares of common stock of Eldorado Resorts and Isle of Capri, respectively, have already signed agreements to vote in favor of the transaction, investigation concerns whether the offer is unfair to NASDAQ:ISLE stockholders. More specifically, the investigation concerns whether the Isle of Capri Casinos Board of Directors undertook an adequate sales process, adequately shopped the company before entering into the transaction, maximized shareholder value by negotiating the best price, and acted in the shareholders' best interests in connection with the proposed sale.

Isle of Capri Casinos reported that its Total Revenue rose from $934.41 million for the 12 months period that ended on April 27, 2014 to $978.59 million for the 12 months period that ended on April 24, 2016 and that its Net loss of $127.69 million for the 12 months period that ended on April 27, 2014 turned into a Net Income of $46.20 million for the 12 months period that ended on April 24, 2016.

Shares of Isle of Capri Casinos (NASDAQ:ISLE) closed on October 6, 2016 at $22.47 per share.