Lifetime Brands has confirmed the receipt of an unsolicited non-binding indication of interest from Mill Road Capital Management LLC as regards acquiring all of Lifetimes outstanding shares that it does not already own, cautioning at the same time that its board of directors has made no decisions regarding that communication.
The Mill Road acquisition offer as received by Lifetime Brands yesterday was for $20 per share in cash.
On March 13, Lifetime Brands reported that its fourth quarter consolidated net sales were up 4.1% to $193.5 million versus the previous-year period. Net income was $14.7 million, or $1 per diluted share, as compared to $11 million, or 77 cents per diluted share, in the quarter a year earlier. Since March 13, Lifetime’s share price increased from $14.45 to a high of $20.85 yesterday, then slipped to hover at about $20. The share price was at $20.05 at 11 a.m. this morning, Yahoo Finance reported.
Lifetime stated that its board is committed to acting in the best interests of all stockholders. It will, in consultation with the company’s financial and legal advisors, evaluate and consider the indication of interest in due course in the context of strategic plans, Lifetime noted, as well as its ongoing review of opportunities to enhance stockholder value. Lifetime added that stockholders do not need to take any action at this time.
Lifetime also cautioned that a there is no assurance that a definitive offer will be made or accepted. The company asserted that does not intend to comment further on this unsolicited indication of interest until the board has completed its review and will communicate further with Lifetime’s stockholders in accordance with securities laws.