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Smith & Wollensky CEO Alan Stillman really wants to sell the steakhouse chain to Joachim Splical's Patina Group - even if the $9.25 price is 50 cents a share lower than what's being offered by Houston-based Landry's Restaurant Group. And Landry's now claims in a letter to the Smith & Wollensky board that Stillman is looking out for himself instead of the S&W shareholders. That's because as part of the Patina deal, Stillman would buy back six of S&W's NY restaurants for $5.3 million. "We believe that these assets are being sold to Mr. Stillman at a discount to their fair market value," the letter said. There's also some grousing about the severance packages for senior S&W folks if the Patina deal goes through. Stillman's attorney says Landry's has it all wrong. Whatever. As for the stock, it closed at $9.85, which suggests that the gamesmanship might play out a bit longer.
Mark Lacter created the LA Biz Observed blog in 2006. He posted
until the day before his death on Nov. 13, 2013.