MEMPHIS, Tenn. — The fast-casual hamburger chain Back Yard Burgers Inc. has received a buyout proposal from Cherokee Advisors for $6.10 a share. Back Yard said it decided not to pursue the offer, the second Cherokee proposal this year.
After June 7, and prior to receipt of the letter dated Aug. 24, BYB's board had informal discussions with Reid Zeising — chairman of BBAC and managing member of Cherokee — on several occasions regarding a possible deal.
Since then, the company has retained Morgan Keegan & Company Inc. to, among other things, advise the board with respect to, and assist the board in analyzing proposals to acquire the company.
The company said it will continue to review any proposals from Cherokee and BBAC in accordance with its fiduciary duties.
