MTY Food Group Inc. (MTY) and Papa Murphy’s Holdings, Inc. (Papa Murphy’s) announced they had entered into a definitive merger agreement under which MTY would acquire all of the issued and outstanding shares of common stock of Papa Murphy’s for cash consideration of US$6.45 per share, representing total transaction value of approximately C$253.2 million, including Papa Murphy’s net debt outstanding.
MTY (TSX:MTY) is a leading franchisor in the North American restaurant industry and Papa Murphy’s (NASDAQ:FRSH) is a franchisor and operator of the largest Take ‘n’ Bake pizza brand and the 5th largest pizza chain in the United States. This acquisition strengthens MTY’s leading portfolio of brands. The company believes the pizza segment is highly attractive due to its size, fragmented nature and growth potential. They expect the combination of the companies to produce tremendous opportunities for MTY’s U.S. expansion objectives.
A Fasken team composed of Neil Kravitz, Janie Harbec and Huy Do advised MTY in connection with this transaction.
