Diet firm deal shines light on overlooked small caps. (Wall Street West).(buyout of Jenny Craig Inc.)(Brief Article)

Los Angeles Business Journal | February 4, 2002| | Copyright

You might not think diet franchise Jenny Craig Inc. would be a place to make fat profits, but last week a private buyout group bought control of the company for $5.30 a share - a 70 percent premium to the market price of just $3.15. That's far above the 30 percent premium, or thereabouts, that has become considered something of a norm on Wall Street for "going private" transactions.

La Jolla-based Jenny Craig's buyer is ACI Capital Co., backed by DB Capital Partners, the private equity arm of Deutsche Bank. The new ownership group includes company founders Sid and ...

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