Plano-based Rent-A-Center Gets a $13-a-share Offer

Rent-A-Center's stock is trading higher on an offer to buy the company from a Florida-based shareholder who owns 5.9 percent of the Plano-based rent-to-own retailer.Vintage Capital Management managing partner Brian Kahn sent a letter to CEO Mark Speese dated this morning that makes a $13 a share cash offer for the company. Rent-A-Center said Monday that its board has decided to explore strategic and financial alternatives. The rent-to-own chain of 2,500 stores also said it has suspended its quarterly dividend.It didn't take long to get an offer, but Kahn said he wants his investment bankers to see the company's books before Rent-A-Center's competitors do.Vintage asked for a 30-day exclusivity period saying, "the value that we are willing to pay, and our interest in pursuing this transaction, is significantly impacted by whether or not our future competitors have access to proprietary information concerning Rent-A-Center's assets, including but not limited to store-level financial information and contract terms with Acceptance Now retail partners." Acceptance Now is a credit lending service that Rent-A-Center provides for other furniture and electronics chains including Rooms To Go and Ashley Furniture. Twitter: @MariaHalkias  Continue reading...

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