Legacy Acquisition Corp., a shell company aimed at making an acquisition of a consumer company, said Wednesday that it had closed a $300 million initial public offering.
The Cincinnati-based “blank check” company is targeting companies in a number of consumer sectors — including restaurants.
Among Legacy’s directors is Steven Davis, who was chairman and CEO at Bob Evans Farms Inc. from 2006 through 2014. Davis has had a long career in the restaurant industry, and held numerous positions with Yum! Brands Inc.
The shell company’s other executives and directors include financiers, bankers and executives from the consumer packaged goods and automotive parts industries.
Legacy said it is targeting businesses in “consumer packaged goods and other consumables, consumer durables, and retail and restaurants sectors.”
Blank-check companies are shell companies that sell stock to investors who bet on the experience of the company’s principals. The companies take the funds generated from investors to buy an established company. The acquired company then goes public through a “reverse merger” with the blank-check company.
The most notable recent example of a blank-check company merging with a restaurant company came in 2015, when longtime restaurateur Larry Levy formed one and acquired Del Taco Restaurants Inc. Del Taco’s stock has risen 20 percent since.
According to Legacy’s SEC filing, the firm will target companies with growth potential and “leading positions within their industries.” The target companies must also have untapped value and be fundamentally sound, but “not operating at their full potential.”
Legacy said it has not selected any specific targets yet.
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