* New offer at $21/shr vs prior offer of $14.75
* Reaches partial settlement of lawsuit on merger
* Shares fall as much as 11 pct
April 27 Landry's Restaurants Inc LNY.N said
Chief Executive Tilman Fertitta agreed to raise his bid to take
the company private by offering $21 per share, or about $341
million, in cash.
The new offer values the stock at a discount of 16 percent
to its Monday close of $25.03.
Shares of the second-largest U.S. seafood restaurant
operator were down 5 percent at $23.71 Tuesday afternoon, after
having run up 55 percent since activist investor William Ackman
blocked Fertitta's earlier bid of $14.75 in November.
Ackman's Pershing Square Capital Management LP currently
owns about 10 percent of Landry's outstanding shares and
Fertitta about 50 percent, according to Reuters data.
Landry's said in a statement Tuesday that Fertitta reached
a tentative partial settlement of a Delaware lawsuit in
connection with his proposal to merge Landry's into his wholly
The Houston-based company added that any final agreement
will have to be approved by the stockholders.
Fertitta has been trying to take the company private for
(Reporting by Renju Jose in Bangalore; Editing by Don