Hong Kong-based activist hedge fund Oasis Management is line for a potential £40m profit from its holding in The Restaurant Group (TRG) after private equity major Apollo Global Management made a £506m offer to take the Wagamama owner private, according to a report by The Financial Times.
Oasis, TRG’s biggest shareholder with a 17.8% stake and an agitator for change at the business, which also owns the Brunning & Price pub chain, has reportedly signed an “irrevocable undertaking” to sell its holding.
Apollo’s surprise offer , which implies an enterprise value, including debt, of £701m, values Oasis’ holding at just over £90m, with the report citing regulatory filings as revealing that Oasis paid around £50m to acquire its holding.
Should the deal complete, it would represents a quick win for Oasis, with the firm having only gone public with its demands for change at TRG eight months ago.
