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Rent-A-Center going private after $800 million acquisition

June 18, 2018

Rent-A-Center is being sold to a private equity firm for more than $800 million.

The chain, which leases household goods on a rent-to-own basis, got a second offer from Vintage Capital Management for $15 per share, a 25 percent premium to the company's closing price on Friday, and a dollar more per-share than Vintage bid the previous week. The Plano, Texas company said Monday that it's accepted the second bid.

The total deal is valued at $1.37 billion including debt.

Rent-A-Center Inc. has been reviewing its plans over the past year, including a potential sale.

The sale to Florida-based Vintage is expected to close by the end of 2018.

Rent-A-Center owns and operates about 2,400 stores in the United States, Mexico, Canada and Puerto Rico. The company's franchising unit has about 250 rent-to-own stores operating under the names of Rent-A-Center, ColorTyme and RimTyme.

There are a dozen Rent-A-Center stores in Indianapolis alone and at least 25 in the nine-county area. Indianapolis also is home to one RimTyme, at 5369 N. Keystone Ave. The only ColorTyme in Indiana is in Bloomington.

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