PORTLAND, Oreg. ( TheStreet) -- McCormick & Schmick's Seafood Restaurant ( MSSR) shares pushed higher Tuesday after the chain put itself up for sale following a rejected takeover bid last month.

McCormick & Schmick's said Monday it is considering a sale as one option for maximizing shareholder value.

In April Landry's Restaurants founder and CEO Tilman J. Fertitta offered to acquire McCormick & Schmick's for $137.2 million.

The seafood restaurant chain rejected the unsolicited bid, saying it undervalued the company.


At the time, Fertitta said he would pay $9.25 per share for each McCormick & Schmick's share he did not already own, a 30% premium to the target's closing price of $7.12 the day before the offer was made.

McCormick & Schmick's shares rose 1.4% to $9.20 on Tuesday afternoon.

Fertitta's offer was made though a unit of Landry's which has been acquiring novelty restaurant brands such as Bubba Gump Shrimp, Oceanaire and Claim Jumper steakhouses.

Landry's traded publicly until last year when Fertitta took it private for $1.4 billion.

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Fertitta already owns a 10.1% stake in McCormick & Schmick's, making him the seafood chain's third-largest shareholder.

M&A is staging a comeback in 2011 across the equities sectors.

"With further stabilization in the credit markets, we also expect a handful of blockbuster strategic acquisitions this year, many of which could change the landscape of their respective industries," noted Morningstar analyst R. J. Hottovy earlier this year.

Also in April, Procter & Gamble ( PG) said it would divest its Pringles potato chips brand to Diamond Foods ( DMND) for $1.5 billion worth of stock.


In March General Mills ( GIS) acquired a 51.5% stake in French yogurt maker Yoplait in a deal valued at $1.1 billion. HJ Heinz ( HNZ) also looked overseas for growth, announcing it acquired 80% of Brazil's Coniexpress S.A. Industrias Alimenticias, maker of the Quero brand of ketchup and condiments.


Other firms looked to growing niche markets for expansion. Anheuser-Busch InBev ( BUD) said last week it would pay a combined $38.8 million to acquire Chicago-based craft brewer Goose Island Beer; and Coca-Cola ( KO) exercised its right to acquire the remaining portion of organic bottled tea maker Honest Tea for an undisclosed amount.

-- Written by Miriam Marcus Reimer in New York.

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