SPB Hospitality Completes Acquisition of J. Alexander's Holdings, Inc.

Rhea-AI Summary

SPB Hospitality has completed the acquisition of J. Alexander's Holdings (NYSE:JAX) for $14.00 per share, totaling approximately $220 million in equity value. This merger received overwhelming approval from J. Alexander's shareholders. SPB aims to enhance its hospitality portfolio with J. Alexander's 47 upscale restaurants, known for high-quality service and ambiance. SPB’s CEO, Jim Mazany, highlighted the strategic importance of this acquisition for creating exceptional dining experiences.

Positive

• Acquisition adds 47 upscale J. Alexander's restaurants to SPB's portfolio.
• Expected to enhance SPB's market presence and hospitality offerings.
• Merger received overwhelming approval from J. Alexander's shareholders.

Negative

• None.

HOUSTON, Sept. 30, 2021 /PRNewswire/ -- Today, SPB Hospitality, an industry-leading operator and franchisor of steakhouses, pizza and craft brewery restaurants, announced that it has completed the acquisition of J. Alexander's Holdings, Inc. [NYSE:JAX]. Upon closing, each share of J. Alexander's common stock was converted into the right to receive $14.00 in cash per share, which equates to an equity value of approximately $220 million. The merger was overwhelmingly approved by J. Alexander's shareholders.

J. Alexander's Holdings operates 47 upscale restaurants with award-winning brands, including J. Alexander's, Stoney River Steakhouse and Grill, Redlands Grill, Overland Park Grill and Merus Grill. For more than 30 years, J. Alexander's Holdings' guests have enjoyed high-quality food, an attractive ambiance and unparalleled polished service.

"This acquisition is a game-changer that advances SPB's vision of building a best-in-class hospitality company known for creating exceptional experiences and breaking through culinary boundaries," said SPB Hospitality Chief Executive Officer Jim Mazany. "I could not be more excited about the future of our SPB Hospitality brands. We're thrilled to welcome the J. Alexander's team to our family and thank them for their assistance throughout the acquisition process."

"We have enormous confidence in SPB's leadership and their vision for building one of the strongest and most successful restaurant groups in the industry," said Morgan McClure, President of SPB Hospitality and Managing Director at Fortress Investment Group. Funds managed by affiliates of Fortress own SPB, which was created in 2020 to manage its growing portfolio of hospitality brands. "J. Alexander's time-honored brands and dynamic team are significant additions to the SPB family and a major step forward in achieving SPB's vision."

J.P. Morgan Securities LLC and Configure Partners LLC served as financial advisors and Hunton Andrews Kurth LLP served as legal counsel to SPB Hospitality and Fortress Investment Group.

About Fortress 
Fortress Investment Group LLC is a leading, highly diversified global investment manager with approximately $53.9 billion of assets under management as of June 30, 2021. Founded in 1998, Fortress manages assets on behalf of approximately 1,800 institutional clients and private investors worldwide across a range of credit and real estate, private equity and permanent capital investment strategies.

About SPB Hospitality
SPB Hospitality is a leading operator and franchisor of full-service dining restaurants, spanning a national footprint of hundreds of restaurants and breweries in 38 states and the District of Columbia. Based in Houston, the company's diverse portfolio of restaurant brands includes Logan's Roadhouse, Old Chicago Pizza & Taproom, Rock Bottom Restaurant & Brewery, Gordon Biersch Brewery Restaurant, and a collection of specialty restaurant concepts. For more information about SPB Hospitality, visit spbhospitality.com.

About J. Alexander's Holdings, Inc.
J. Alexander's Holdings is a collection of restaurants that focus on providing high-quality food, outstanding professional service and an attractive ambiance. The Company presently operates 47 restaurants in 16 states. For additional information, visit JAlexandersHoldings.com.

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SOURCE SPB Hospitality

FAQ

What is the recent acquisition involving J. Alexander's Holdings (JAX)?

SPB Hospitality acquired J. Alexander's Holdings for $14.00 per share, totaling approximately $220 million.

When was the acquisition of J. Alexander's by SPB Hospitality completed?

The acquisition was completed on September 30, 2021.

How will the acquisition impact J. Alexander's Holdings and SPB Hospitality?

The acquisition is expected to enhance SPB's market presence and add valuable upscale dining options through J. Alexander’s restaurants.

What was the reaction of J. Alexander's shareholders to the acquisition?

The acquisition received overwhelming approval from J. Alexander's shareholders.