Tarsadia calls on Sunstone Hotel board to pursue a sale of entire company

Tarsadia Capital, a 3.4% economic interest holder of Sunstone Hotel (SHO) Investors, sent a letter to the board of directors of Sunstone calling on the Company to immediately commence a two-track process to pursue a sale of the entire Company or a plan of sale and liquidation of the Company’s assets, to preserve and maximize value for shareholders. “Sunstone’s current trajectory as a subscale lodging REIT is simply not tenable. The Board needs immediate refreshment and must commence a robust strategic alternatives process to unlock value for shareholders. As a long-term and engaged shareholder, Tarsadia Capital has encouraged the Board to act with urgency on the Company’s persistent undervaluation in the public markets, but to no avail. If the Board desires to continue with the status quo, we are prepared to make the case for change directly to our fellow shareholders,” said Michael Ching, Tarsadia Capital.