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(updated to add analyst name)
Bojangles (NASDAQ: BOJA) announced today that it has entered into a final agreement to be acquired by Durational Capital Management LP and The Jordan Company, LP Under the terms of the Durational Capital Agreement Management LP and The Jordan Company, LP will acquire the Company in an all cash transaction. Bojangle’s shareholders will receive $ 16.10 per share, equivalent to a premium of 39% at the closing share price on February 12, 2018, one day before the first speculation on a possible transaction with Bojangles and a premium of approximately 30% to 90% day volume weighted average price ending February 1
2, 2018. The offer represents a premium of 15% at the closing price of September 27, 2018, one day before a published report by Bojangles investigates strategic options.
Keybanc analyst Eric Gonzalez is wondering if additional bidders come forward: “We estimate that the agreed price of $ 16.10 represents an evaluation of approximately 11.75x and 12.75x EV / EBITDA on a TTM and NTM base. If we were to apply the same multiple that Inspire Brands paid for Sonic, it would amount to a $ 21 withdrawal fee. So we wonder about the possibility of an additional bidder to arrive. “