Shareholders of Back Yard Burgers OK $38M buyout

Nation's Restaurant News,  August 13, 2007  

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MEMPHIS, TENN. -- Shareholders of Back Yard Burgers Inc. voted Aug. 3 to accept a previously announced buyout offer of $38 million, or $6.50 per share, from the private-equity firm BBAC LLC. Former Shoney's and Sonic chief executive Steve Lynn is leading the pending buyout.

BBAC, which had already amassed an 8.7-percent stake in the company before making its initial offer in April 2006, also indicated that its planned repayment of Back Yard Burger's debt was reflected in the deal's $38 million valuation.

Under Lynn, the chain is expected to expand in and beyond the Southeast.

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