Home / NEWS / Retail / Vintage Capital to buy Rent-A-Center for $1.37 billion

Vintage Capital to buy Rent-A-Center for $1.37 billion

Rent-A-Center revealed on Monday it would be taken private by buyout firm Vintage Cardinal Management in a deal that values the rent-to-own furniture retailer at $1.37 billion, including net responsible.

Vintage offered $15 per Rent-A-Center share, matching the firm’s premier proposal made in July last year.

The latest offer reports a premium of 25 percent to the stock’s Friday close.

The Plano, Texas-based flock has been under pressure from activist investors Engaged Superior and Marcato Capital to sell itself and said last week that a critical review did not result in a satisfactory offer from suitors.

After the public limited company’s announcement, Vintage Capital, which owns nearly 6 percent of the retailer, proposed $14 per share, calling it its best and final offer.

The equity value of the engage in is $801.2 million, according to Reuters calculations.

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