The board of directors of McCormick & Schmick's Seafood Restaurants Inc(Nasdaq:MSSR), a seafood restaurant operator, has unanimously rejected the unsolicited tender offer from LSRI Holdings Inc, the company announced on Wednesday.
LSRI Holdings, a wholly-owned subsidiary of Landry's Restaurants Inc, had offered to acquire all outstanding common stock of McCormick & Schmick's, not already owned by it or its affiliates at a price of USD9.25 per share in cash.
The company's board, after careful consideration with the assistance of its independent financial and legal advisors, unanimously recommended that McCormick & Schmick's stockholders reject the LSRI Holdings offer and not tender their shares into the offer, which the board believes undervalues the company's current business and future prospects.
Fertitta, through his affiliate LSRI
Holdings Inc, had commenced an unsolicited tender offer to acquire all outstanding common shares of McCormick & Schmick's not already owned by Fertitta or his affiliates.
US restaurant chain Landry's Restaurants on Thursday said its unit LSRI Holdings has kicked off a USD9.25 (EUR6.50) per share takeover offer for local rival McCormick & Schmick's Seafood Restaurants (NASDAQ:MSSR) despite that the latter's board has turned down the bid.
In a regulatory filing LSRI Holdings said that McCormick & Schmick's board refused to negotiate a deal with Landry's.
Fertitta, already holding 10.1% in the seafood restaurant chain, said in a statement that he, through Landry's Restaurants' unit LSRI Holdings, will soon submit the formal USD9.25 per share offer to McCormick & Schmick's shareholders.
Fertitta took over Landry's in 2010 for USD1.4bn.Country: USA, Sector: Hotels/Restaurants/Casinos/CateringTarget: McCormick & Schmicka[euro](tm)s Seafood Restaurants IncBuyer: Tilman Fertitta, LSRI Holdings IncDeal size in USD: 137.3mType: Corporate acquisitionFinancing: DebtStatus: BiddingComment: Hostile bid to be soon taken to McCormick & Schmicka[euro](tm)s shareholders.