Sep 29, 2014 10:16 AM
Bagel company Einstein Noah sold for $364.5M
The Associated Press
LAKEWOOD, Colo. (AP) The owner of Einstein Bros. Bagels and other, similar chains is being acquired by investment group JAB Holding for about $364.5 million.
The Einstein Noah Restaurant Group Inc. also owns Noah's New York Bagels and Manhattan Bagel, and runs a dough production facility. It has more than 855 restaurants in 42 states and the District of Columbia.
Shares jumped 50 percent at the open of trading.
JAB Holding Co. will pay Einstein stockholders $20.25 per share, a 51 percent premium to its Friday closing price of $13.39. The companies put the deal's total equity value at approximately $374 million.
The buyout has been approved unanimously by Einstein's board.
Einstein will keep its headquarters in Lakewood, Colorado when the acquisition closes and will continue to run as a stand-alone business.
Caribou Coffee Co. CEO Michael Tattersfield will serve as chairman. JAB has a majority stake in Caribou Coffee.
Shares rose 6.76 to $20.15.