BUCA, Inc. (NASDAQ: BUCA) today announced that it has signed a
definitive agreement with Planet Hollywood International, Inc. (“Planet
Hollywood”) under which an acquisition
subsidiary owned by Planet Hollywood will seek to acquire all of the
shares of BUCA, Inc. at a price of $0.45 per share of common stock. This
price represents a premium of 41% over the closing share price of $0.32
per share on August 4, 2008. The transaction will be effected through a
tender offer, followed by a merger of BUCA, Inc. with a wholly-owned
subsidiary of Planet Hollywood.
In connection with the signing of the acquisition agreement, Planet
Hollywood has also provided a $3.5 million secured subordinate loan to
BUCA, Inc.
“After an exhaustive review of strategic
alternatives, our Board of Directors has determined that this offer from
Planet Hollywood represents the best overall value for our
shareholders. In addition, the financing from Planet Hollywood will
provide us with the liquidity we need to continue to move our business
forward. We believe that this transaction provides a bright future for
our unique brand and for our many employees nationwide,”
said BUCA, Inc. President and Chief Executive Officer John T. Bettin.
Robert Earl, President, Chief Executive Officer and founder of Planet
Hollywood commented “We are delighted to
welcome Buca di Beppo to the Planet Hollywood family as part of our
ongoing strategy to introduce new brands into our restaurant group while
simultaneously expanding our lodging and casino operations.”
The BUCA, Inc. Board of Directors unanimously approved the offer from
Planet Hollywood and is recommending that BUCA, Inc.’s
shareholders tender into the offer. Under the terms of the agreement,
the tender offer is expected to commence no later than August 12, 2008
and to remain open for 20 business days. Consummation of the transaction
requires the tender of at least a majority of the outstanding shares in
the tender offer and other customary closing conditions.
About BUCA, Inc.
BUCA, Inc. owns and operates 88 highly acclaimed Italian restaurants
under the name Buca di Beppo in 25 states and the District of Columbia.
About Planet Hollywood International, Inc.
Planet Hollywood International, Inc. is the creator and worldwide
developer of consumer brands that capitalize on the universal appeal of
movies, television, sports, music, and other leisure time activities.
