US private equity firm Thomas H. Lee Partners has entered into an agreement to acquire CKE Restaurants (NYSE:CKR) for $928 million, including the assumption of $309 million of net debt.
The offer, which equates to $11.05 in cash per share, represents a 24% premium to CKE Restaurants’ share price last night in New York.
CKE Restaurants through its subsidiaries has 3,147 franchised, licensed or company-operated restaurants in 42 states and in 14 countries, including 1,221 Carl's Jr. Restaurants and 1,913 Hardee's Restaurants.
"THL is pleased to partner with CKE's seasoned management team to continue building on the Company's powerful brands and strong position in the marketplace,” Todd Abbrecht, Managing Director of THL Partners, said. “We are committed to making this great company even better, and to working together with the entire organization to provide an even stronger foundation for value creation, expansion and profitable growth."
Under the terms of the agreement, CKE Restaurants is permitted to actively solicit superior offers until April 6, 2010.