Restoration Hardware Inc., the California-based home-furnishings chain, agreed to be acquired by buyout firm Catterton Partners for $267 million.
The $6.70-a-share offer is more than double Restoration Hardware's closing price yesterday, the company said today in a statement. The company, which has 110 locations in 30 states, said it will solicit higher offers until Dec. 13.
The chain, hurt by the worst U.S. housing slump in more than a decade, is facing its third unprofitable year in the past five. Founded in 1979 as a specialty retailer of fixtures for older homes, Restoration Hardware sells furniture, lights and bedspreads and had $712.8 million in revenue last year.