Main Street Restaurant Group ( MAIN - Get Report) soared Monday after the Phoenix-based company, the world's largest franchisee of T.G.I. Friday's restaurants, said it agreed to be acquired by The Briad Group, for $6.40 a share in cash. Under the terms of the agreement, Briad will begin a cash tender offer for all of the outstanding shares of Main Street Restaurant Group at $6.40 apiece. The tender offer is subject to a minimum tender condition of 90% of the outstanding Main Street Restaurant Group shares and other customary conditions, but is not subject to any financing condition. Shares jumped $1, or 18.8%, to $6.31 in recent trading. Comtech Telecommunications ( CMTL - Get Report) jumped after CE Unterberg, Towbin upgraded the Melville, N.Y.-based company to buy from market perform. Shares climbed $3.94, or 15%, to $30.15 in recent trading. Golf Galaxy ( GGXY) sank more than 16% after the Eden Prairie, Minn.-based company, which operates a chain of golf specialty retail stores, lowered its first-quarter sales guidance. The company said it now anticipates first-quarter sales of $82 million to $83 million, down from previous guidance of $84 million to $88 million. Golf Galaxy also narrowed its estimate for first-quarter net income to a range of $2.2 million to $2.5 million, pending the final purchase-price allocation of The GolfWorks acquisition, or 19 cents to 22 cents a share. The previous guidance was $2 million to $2.5 million, or 17 cents to 22 cents a share. Golf Galaxy said it expects a comparable-store sales gain of zero to 2% for the fiscal first quarter. The company also lowered its yearly guidance, saying it now expects sales of $300 million to $310 million, compared with its prior estimate of $305 million to $315 million. The company reiterated its expectation for fiscal 2007 income of $7.5 million to $8.1 million, or 65 cents to 70 cents a share. Shares fell $3.35 to $17.39 in recent trading.
Consolidated Water ( CWCO - Get Report) dropped after the Grand Cayman Islands-based company, which develops and operates seawater conversion plants, said David Sasnett will become chief financial officer effective June 3. He will replace Joe Pivinski, who will resign as an officer of the company but will continue as an advisor until Dec. 31. Sasnett is currently a member of the company's board of directors and is chairman of the audit committee. Also, Leonard J. Sokolow is joining the board of directors as an independent director, where he will serve on the audit and compensation committees. Shares dropped $1.50, or 5.4%, to $26.55 in recent trading. 1-800 Contacts ( CTAC) surged following an article in Barron's that said the Draper, Utah-based contact lens company could see its shares increase this year if it obtains access to lenses made by the CooperVision unit of Cooper Cos. ( COO - Get Report). 1-800 Contacts could also gain if the company releases interesting new lenses in July, Barron's said. Shares recently gained $1.95, or 14.4%, to $15.47.