Sardar Biglari Builds His Stake in Steak n Shake
David J. Reynolds of the WSJ reports that Sardar Biglari purchased $1.1M in Steak N Shake (NYSE:SNS) shares last week:
Steak n Shake recently disclosed plans to purchase Western Sizzlin, a steak restaurant chain that Mr. Biglari also heads.
The young activist — he is listed as 31 in a recent regulatory filing — became chief executive of Western Sizzlin in 2007 after buying shares and agitating for change at the company.
Ben Silverman, director of research at InsiderScore.com, said Mr. Biglari’s purchase showed his confidence in the outlook for the combined company. “The buying here is bullish,” Mr. Silverman said.
Mr. Biglari is “a value guy,” who has had plenty of opportunity to assess the worth of the business combination, Mr. Silverman added. “The proposed transaction seems to be the culmination of a two-plus year plan” to take control of both companies and combine their operations…
Mr. West said the proposed buyout was a “liquidity grab” by Mr. Biglari, a 33% holder of Western Sizzlin — more attractive for Western Sizzlin holders because those shares trade relatively infrequently.
Activist CEO Builds His Stake in Steak n Shake (WSJ)
Be sure to read the full article, it’s short.
