Conyers Park To Merge With Atkins Nutritionals To Create The Simply Good Foods Co.

By Ciara LinnaneMarketsMarketWatch Pulse

Conyers Park Acquisition Corp. and Atkins Nutritionals Inc. have agreed to merge and create a new holding company called The Simply Good Foods Co. with an enterprise value of about $856 million. Atkins is owned by affiliates of private-equity firm Roark Capital Group. The new entity will be listed on the Nasdaq under the ticker symbol "SMPL". The deal will be funded using a mixture of cash, stock and debt. Atkins owners will receive $730 million in total, including 10.3 million shares of Simply Good Foods valued at $10 a share. Conyers Park has $402.5 million in cash in its trust account, as well as commitments for $100 million stock private placement at $10 a share. The deal is expected to close in June. Conyers shares were halted premarket, but have gained 2% in 2017, while the S&P 500 has gained 5%.

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