FINANCE

Vitamin Shoppe gets competing buyout bid

BY Marianne Wilson

Another suitor has emerged for Vitamin Shoppe.

The nutritional products retailer said it received a buyout bid from a third party during the “go-shop” period as part of the acquisition agreement with Liberty Tax Inc. Vitamin Shoppe did not name the new bidder.

In August, Vitamin Shoppe said it had agreed to be acquired by Liberty Tax in an all-cash transaction valued at approximately $208 million. Under the terms of the deal, Vitamin Shoppe shareholders will receive $6.50 per share, which represented a premium of 43% to its closing share price of $4.54 on August 7, 2019. As part of the agreement, Vitamin Shoppe had been seeking competing bids from what it said was a range of strategic and financial entities.

Vitamin Shoppe said it expects the new buyout bid is “reasonably likely” to lead to a “superior proposal” to the Liberty Tax deal and that it intends to engage in negotiations with the new bidder regarding its acquisition proposal. However, the retailer added that “at this time,” it has not changed its recommendation in favor of its pending merger with Liberty Tax.

Vitamin Shoppe operates more than 750 stores under the banners Vitamin Shoppe and Super Supplements as well as through its website.

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