Loungers has received an "increased and final" acquisition offer from Fortress, valued at £354.4m.

The new offer comes after Loungers, which owns brands including Lounge, Cosy Club and Brightside, received pushback from shareholders over an accepted offer, valued at £338.3m in November.

Fortress is now offering 310 pence per share, which represents a premium of 36.6% of the closing price on 27 November 2024.

In the announcement, Loungers directors stated that they believe the new offer is in the "best interests" of the firm and its shareholders and recommended that they vote unanimously in favour of the deal.

It added that if the acquisition were to fail, it would be "materially detrimental to Loungers and Loungers shareholders".

Chairman at Lounders, Alex Reilley, said: "We are very pleased that Fortress has decided to increase its offer, making it even more compelling for Loungers shareholders and reinforcing the Loungers directors' recommendation that they should vote in favour of the acquisition."

Managing director at Fortress, Domnall Tait, added: "This increased offer for Loungers reflects our continued belief in the business and its management team, and we look forward to supporting them through the next stage of growth. Notwithstanding the recent challenges, Fortress remains a strong believer in the UK."

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