Nathan’s Famous (NATH) – Tender Offer with Odd Lot provision – $250 potential upside

Current Price – $33.43;

Offer Price – $33 – $36;

Upside – $250 or 7.5% (if the upper pricing limit is used);

Expiration date –  16 Oct 2015;

SEC Filling



Nathan’s Famous today announced that it will commence mailing to its stockholders on or about  September 18, 2015 a modified Dutch Auction tender offer to purchase for cash up to 500,000 shares of its common stock, $.01 par value, at a price per share of not less than $33.00 nor greater than $36.00, for a maximum aggregate purchase price of $18,000,000.
The tender offer will commence on or about September 18, 2015, and the Company expects the tender offer will expire at 12:00 Midnight, Eastern Time, on or about October 16, 2015 unless extended or withdrawn.


Proration for Odd Lot holders:

There is currently no indication on how odd lots will be treated, but company’s previous tender had provision for odd lots


Source of Funds:

The Company intends to fund this tender offer with cash on hand.  At  June 28, 2015, the Company had approximately $51.6 million of cash and cash equivalents and approximately $7.8 million of marketable securities.