J Alexanders Shares Gain On SPB Hospitality Acquisition Deal For $220M

J Alexanders Holdings Inc JAX will be acquired by SPB Hospitality LLC, a Houston-based restaurant operator, in an all-cash transaction valued at about $220 million.
The company’s shareholders will receive $14.00 in cash per share, representing a 14% premium to the closing share price on Thursday, July 1, 2021.
The transaction is expected to be completed early in the fourth quarter of 2021.
“The merger transaction will provide liquidity at a significant premium for our shareholders while providing a home for our concepts, our employees, and our loyal guests with SPB Hospitality,” said CEO Mark A. Parkey.
J. Alexander’s operates restaurant brands like Redlands Grill, Stoney River Steakhouse, and Grill.
The company’s cash flow from operations for Q1 FY21 was $4.81 million, and the cash and equivalents totaled $15.3 million as of April 4, 2021.
Price action: JAX shares are trading higher by 12.6% at $13.80 on the last check Friday.