WESTBOROUGH, Mass. — BJ's Wholesale Club here said Wednesday it has agreed to a takeover offer of $51.25 per share, or about $2.8 billion, from Leonard Green & Partners and CVC Capital Partners.
The offer had been disclosed last week, but the specific share price had not. The all-cash offer represents a 7% premium to the shares' trading price on Tuesday. BJ's said its board of directors has unanimously approved the transaction.
"BJ's will benefit from the continued execution of our business plan and the significant retail expertise of our new partners at LGP and CVC, as well as from continued investments in our clubs, our people and technology, and the future of our business," said Laura Sen, president and chief executive officer, BJ's.
The merger is subject to the approval of BJ's shareholders, closing conditions and regulatory approvals. The transaction is expected to close during the fourth quarter of 2011. Morgan Stanley & Co. was financial advisor to BJ's in the transaction.
BJ's operates 190 membership wholesale clubs in the Eastern U.S., and is the No. 3 club operator behind Costco and Sam's Club. It had announced in February that was seeking buyout offers.