More Cash Flashed Up Front for Outback

TAMPA, FL—Apparently responding to complaints that the inaugural offer was insufficient, two private equity firms aiming to take over the parent of Outback Steakhouse have increased their bid from $40 to $41.15 per share. A shareholder vote is now expected on June 5, following a procedural move slated for this Friday, officials for OSI Restaurant Partners Inc. have announced. The revised price puts the deal in the $3.2-billion range.

Funds controlled by Bain Capital Partners and Catterton Management Co. have been targeting the casual dining chain since last autumn, among a legion of private money sources enticing public shareholders to cash out. Vehicles known as Kangaroo Acquisition Inc. and Kangaroo Holdings Inc. would join forces with senior managers and founders from OSI, the purveyor of Outback Steakhouse and such brands as Carrabba’s Italian Grill, Lee Roy Selmon’s, Cheeseburger in Paradise and the Bonefish Grill.

In addition to eateries in all 50 US states, with some 1,400 restaurants in total, the conglomerate has been beefing up its overseas presence, operating Outback Steakhouses, Fleming’s Prime Steakhouse & Wine Bars and Blue Coral Seafood & Spirits in 20 countries.