Taking difficult decisions to run the business smoothly is a quality rarely found in many corporate groups. Benihana Inc. (NASDAQ:BNHN) continues to keep the faith of all the shareholders intact with its timely announcements.
According to a report, the company shut down its business located at Cincinnati location to revamp overall business model. Apart from this, it also announced its acquisition by the famous Private Equity Group Angelo, Gordon & Co.
Insights On The Matter
Benihana wasn’t able to generate enough revenues at its restaurant located at 126 E. Sixth St. Cincinnati location. To make sure that it couple revamp the entire business model, the company had decided to close the restaurant for some time, so that it could engage a special team into re-strategizing business in this area.
Benihana tried different options, but couldn’t finalize a perfect strategy for its business located in this area. Eventually, the management team decided to shut this business and inform all the customers via mail. The mail redirected the customers to pay a visit to other nearby restaurants of the company.
Acquisition By Angelo, Gordon & Co.
Benihana, the operator of the largest chain of sushi and Japanese theme restaurants, announced that it had accepted the acquisition offer proposed by the famous private equity group- Angelo, Gordon & Co. Reports claim that Angelo, Gordon & Co. offered $16.30 per share in cash for each outstanding share of Benihana, which was accepted by company’s board of directors without any issue.
The proposed per share price made the acquisition transaction worth $295 million. Post acquisition, it was removed from NASDAQ marketplace.
The senior management of Benihana was overwhelmed by the response received from the customers and shareholders. It promised that this acquisition and the decision to shut down business from Cincinnati location wouldn’t put any impact on company’s future endeavors. It would continue to serve customers in the best way possible.
