Outdoor Channel Holdings Inc., the owner of a cable channel with hunting and fishing programs, said its board has accepted an increased buyout offer from billionaire Stan Kroenke’s Kroenke Sports & Entertainment LLC.
Kroenke, the owner of the St. Louis Rams, agreed to pay $10.25 a share for Outdoor Channel, or about $268 million, beating a previous offer of $9.75 a share from New York-based InterMedia Partners, according to a statement yesterday.
Outdoor Channel, based in Temecula, California, plans a special shareholder meeting to consider the proposal next week. The new agreement calls for Kroenke to receive a $7.5 million termination fee if the deal doesn’t go through.
The channel, with 39.8 million subscribers on cable, satellite and telecom systems, has been the subject of a months-long bidding war between Kroenke, 65, and InterMedia, the investment firm founded by Leo Hindery, the former Tele-Communications Inc. executive.
Outdoor Channel had agreed to an earlier $9.35-a-share from Kroenke, according to the statement. Hindery’s InterMedia made a May 3 proposal for $9.75 a share. Outdoor Channel in November had agreed to a buyout from InterMedia for $8 a share.
Outdoor Channel rose 1.3 percent to $10.27 at the close in New York, giving the company a market value of $265.5 million and suggesting some investors still anticipate a higher offer. The shares have advanced 35 percent this year.