CNBC host Marcus Lemonis and a group of investors are nearing a deal to buy Crumbs Bake Shop, CNBC is reporting.
News of the potential deal sent the stock soaring more than 1000% to 36 cents per share just before noon on Thursday.
According to the report:
“An investor group that includes the Fischer Family and Marcus Lemonis, Chairman and CEO of Camping World and Good Sam Enterprises and star of CNBC’s ‘The Profit,’ confirmed it plans to provide financing for the struggling cupcake chain as a prelude to an acquisition.
Lemonis plans to incorporate other holdings, including Sweet Pete’s Candy, into the new entity that contains Crumbs.”
Crumbs closed all of its stores Monday after years of sales declines. The closures came one week after the company’s shares were delisted from the Nasdaq stock exchange.
Crumbs was founded in 2003 with a single bakery in Manhattan’s Upper West Side and eventually expanded to 79 stores across the country.
Roughly 800 full- and part-time workers were laid off as a result of the store closures.
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