All the activist investor posturing has apparently paid off for Buffalo Wild Wings (NASDAQ:BWLD).
Sources close to the situation tell CNBC today that private equity firm Roark Capital has made a takeover bid to take the company private:
Roark made an offer of more than $150 per share, the person told CNBC. Shares surged nearly 28 percent after The Wall Street Journal initially reported the offer.
The shares jumped 25.8 percent to $147.50 in premarket trading Tuesday.
The person who spoke to CNBC asked not to be named because the information is confidential. Buffalo Wild Wings and Roark did not immediately respond to requests for comment
A few months ago, BWLD management lost a bitter contest to retain control of the company. In the fallout, its CEO retired and three new members were appointed to the company’s board of directors, with activist investing group Marcato seizing the reins. Marcato wants Buffalo Wild Wings to expand its franchising efforts, while management had resisted that notion.
Roark already owns a sizable restaurant portfolio including Arby’s, which itself tried to buy Popeye’s Chicken earlier this year.
Buffalo Wild Wings shares were trading at $147.70 per share on Tuesday morning, up $30.45 (+25.97%). Year-to-date, BWLD has declined -4.34%, versus a 16.81% rise in the benchmark S&P 500 index during the same period.