Lazydays Holdings, Inc.’s Board of Directors unanimously rejected the B. Riley non-binding, unsolicited proposal to acquire the company for $25 a share, as set forth in the B. Riley March 9, 2022 public letter.
The company’s shared closed March 8 at $17.69 a share, putting B. Riley’s bid at a 41% premium. With about 8.47 million outstanding shares, according to Marketwatch, the offer would value Lazydays just below $212 million.
Lazydays shared closed Friday at $21.46 a share.
“The Lazydays Board of Directors appreciates the interest that B. Riley has expressed in the company,” the company stated. “The board has carefully reviewed the B. Riley proposal with the assistance of its advisors and, after thorough consideration in accordance with its fiduciary duties, has determined that the proposal meaningfully undervalues the company and is not in the best interests of shareholders.”
Board Chairman Chris Shackelton said Lazydays will continue to take seriously all credible interest in the company. However, he said the board did not believe this was an advantageous time to pursue a sale.
“We are confident in the company’s strategic direction, management team, balance sheet, shareholder base and industry partners,” Shackelton said. “Upon this strong foundation, we see a compelling opportunity over the coming years to create considerable shareholder value.”
