Bar and cafe chain Loungers PLC (AIM:LGRS) ticked up on Wednesday after recommending a £354 million takeover bid from Fortress Investment Group to shareholders.
New York-based Fortress had offered 325p per share in cash, Loungers said on Wednesday, valuing the chain at £354.4 million.
This marked a 4.8% increase on its previous offer of 310p per share made in November, the Lounge, Cosy Club and Brightside brand owner added.
“We are very pleased that Fortress has decided to increase its offer,” chief executive Alex Reilley commented
He added the new offer was “even more compelling for Loungers shareholders” and reinforced the board’s “recommendation that they should vote in favour of the acquisition”.
Shares climbed 4.2% to 321p on Wednesday.