Spanish restaurant supply store will sell its shares to US investors
Restaurant supply store Spanish will sell all its shares in a $1.5 billion investment by US investors to help build its brand and raise cash for the struggling business.
The acquisition, announced on Tuesday, will allow Spanish to buy shares of U.S. food and beverage retailer Kroger, a unit of grocery chain Kroger Inc., the Los Angeles Times reported.
Spanish’s shares fell more than 4% in premarket trading.
The company has been in trouble since it closed its doors in 2014.
Spanish is in the midst of a restructuring and restructuring is needed, Chief Executive Officer Luis Manuel Spanish said in a statement.
It is our intention to accelerate this process and sell the remaining shares.
Spanses shares rose 1.5% to $14.97 at the close in New York.
Spanses has struggled to stay afloat since it shuttered its doors, losing nearly $200 million in the first quarter.