Fortress Investment Group to buy UK's Loungers in $444 mln deal (updated)
28/11/2024 07:57
(Adds details of deal in paragraph 2, Loungers' chairman
comment in paragraph 3)
Nov 28 (Reuters) - U.S.-based investment group Fortress
Investment Group will buy British cafe-bar and restaurant chain
Loungers LGRS.L at an enterprise value of about 350.5 million
pounds ($443.6 million), the two firms said on Thursday.
The 310 pence-per-share cash offer represents a premium of
30.3% to Loungers stock's last close.
The acquisition represents a "compelling proposition"
for all stakeholders, and will allow the London-listed group to
execute its growth plans "more decisively and effectively",
Loungers Chairman Alex Reilley said in a statement.
Founded in 2002 by three friends who wanted to create a
neighbourhood cafe-bar, Loungers now operates in more than 260
sites in England and Wales under the Lounge, Cosy Club and
Brightside brands.
Loungers' board intends to unanimously recommend the
shareholders to vote in favour of the deal, the company said.
($1 = 0.7901 pounds)
(Reporting by Aby Jose Koilparambil in Bengaluru; Editing by
Janane Venkatraman)
((abyjose.koilparambil@thomsonreuters.com))