ROANOKE Va. Western Sizzlin Corp. on Friday said it had agreed to buy a controlling stake in Houston-based Mustang Capital Advisors LP and its general partner, Mustang Capital Management LLC, from John K. H. Linnartz.
The firm manages about $55 million in assets and controls 7.4 percent of the common stock of Roanoke-based Western Sizzlin, which is franchisor or operator of 122 steak restaurants in 19 states. The stock holding will be distributed to Mustang's limited partners before the deal closes, Western Sizzlin said.
Linnartz, who will continue to manage the acquired entities, agreed to sell a 50.5-percent stake in Mustang Capital and 51 percent of the management arm in exchange for $300,000 in cash and Western Sizzlin stock worth $873,000.
Western Sizzlin's chairman is activist investor Sardar Biglari, who recently won two seats on the board of Steak n Shake Co. for himself and associate Philip Cooley.