J. Alexander's 'strongly disagrees' with ISS, Glass Lewis recommendations
J. Alexander's Holdings issued the following statement in response to reports by proxy advisory firms Institutional Shareholder Services and Glass Lewis regarding the previously announced acquisition of Ninety Nine Restaurant & Pub: "We strongly disagree with the ISS and Glass Lewis recommendations regarding our acquisition of 99 Restaurants. Both recommendations surprisingly ignore the actions by the J. Alexander's Board of Directors to establish an equitable process for the transaction, including specific negotiations for the transaction to be approved by disinterested shareholders. While we believe that ISS did not properly weigh the value creation opportunities of the proposed transaction, we were pleased Glass Lewis recognized the significant benefits J. Alexander's shareholders would see with the acquisition of 99 Restaurants. The J. Alexander's Board and management team have worked diligently to identify and execute opportunities to drive growth and value for our shareholders and we are confident that the proposed transaction with 99 Restaurants represents a significant opportunity to do so...We were gratified that Egan-Jones Proxy Services, a proxy advisory firm and competitor to ISS and Glass Lewis, reviewed the same facts as its competitors and came to recommend a vote "FOR" this transaction. We believe that shareholders who conduct their own thoughtful analysis will arrive at the same conclusion. We continue to believe this acquisition will create attractive value for, and is in the best interest of, all shareholders. The transaction is expected to be accretive to J. Alexander's earnings per share and present meaningful opportunities for cost synergies, which, if achieved, will drive further accretion." J. Alexander's Board recommends that shareholders vote "FOR" this transaction on the WHITE proxy card.