Rewards Network Inc. and EGI Affiliate Sign Definitive Merger Agreement

http://finance.yahoo.com/news/Rewards-Network-Inc-and-EGI-iw-2410351015.html?x=0&.v=1
Rewards Network Inc. announced today that Rewards Network and EGI Acquisition, L.L.C. ("EGI Acquisition"), an affiliate of Equity Group Investments, L.L.C. ("EGI"), a private investment firm, have entered into a definitive merger agreement under which EGI Acquisition will offer to acquire all of the shares of Rewards Network common stock not owned by EGI Acquisition for $13.75 per share in cash. EGI Acquisition currently owns approximately 14.2% of the outstanding shares of Rewards Network common stock. Certain other affiliates of EGI collectively own approximately 12.1% of the outstanding shares of Rewards Network common stock and have agreed to tender such shares in the offer. The transaction values Rewards Network on a fully diluted share basis at approximately $126 million.

Beringer note: On $12.35M trailing ebitda, multiple is 8.8 on equity value, 10x on enterprise value ($12M excess cash in business)