Special Committee of the Board of Directors of Franchise Group, Inc. in the company’s $2.6 billion take private by members of Company management

On May 10th, 2023, Franchise Group, Inc. (NASDAQ: FRG) announced that it has entered into a definitive agreement pursuant to which members of its senior management team led by Brian Kahn, the Company’s Chief Executive Officer, in financial partnership with a consortium that includes B. Riley Financial, Inc. and Irradiant Partners, have agreed to acquire the approximately 64% of Franchise Group’s common stock that the management group does not presently own.  The transaction has an enterprise value of approximately $2.6 billion, including Franchise Group’s net debt and outstanding preferred stock.  Franchise Group’s Board of Directors, acting on the unanimous recommendation of a special committee consisting solely of independent directors unaffiliated with the management group, has approved the transaction.

Wachtell, Lipton, Rosen & Katz is serving as legal advisor to the special committee.