NEW YORK Smith & Wollensky Restaurant Group Inc. has agreed to be purchased by Patina Restaurant Group LLC in an all-cash merger valued at about $79.6 million, or $9.25 per share. The transaction comes about a month after Landry’s Restaurant Group of Houston offered to acquire “through merger or otherwise” the New York-based steakhouse company for about $65 million, or $7.50 per share. —Publicly held luxury steakhouse operator
As part of the deal with privately held Patina, S&WRG chief executive Alan Stillman will purchase all of the company’s New York restaurants—the Smith & Wollensky flagship in midtown, Quality Meats, Maloney & Porcelli, Park Avenue Cafe, Cité and The Post House. Stillman said he would work with Patina in an unofficial capacity to operate and expand the Smith & Wollensky brand. In addition to the New York branch, the company operates eight Smith & Wollensky steakhouses around the country. —Publicly held luxury steakhouse operator
Stillman said he planned to vote his shares in Smith & Wollensky in favor of the merger and recommend that shareholders accept the offer. —Publicly held luxury steakhouse operator
“This is a good deal,” he said. “[Smith & Wollensky] shareholders will have doubled their [share value] from $4.75 last year before the Landry’s offer.” —Publicly held luxury steakhouse operator
Stillman said the deal was the result of a longtime friendship with Nick Valenti, chief executive of Patina. —Publicly held luxury steakhouse operator
Valenti said in a statement that the Smith & Wollensky outlets would be integrated and expanded “as part of our organization.” —Publicly held luxury steakhouse operator
Valenti formed Patina Restaurant Group last year with chef-founder Joachim Splichal and Tokyo-based foodservice conglomerate Shidax Corp., from elements of Restaurant Associates and Los Angeles-based Patina Group. The company, which includes all of the former RA restaurant holdings, several East Coast foodservice locations and all of Patina Group’s West Coast restaurants and cultural-venue accounts, was acquired from London-based contract giant Compass PLC for about $90 million. —Publicly held luxury steakhouse operator
Patina operates about 65 premium concepts, including The Sea Grill, the Brasserie, Nick & Stef’s, Patina and the Pinot bistro chain. —Publicly held luxury steakhouse operator
Stillman said the deal is expected to take three or four months to close. —Publicly held luxury steakhouse operator