Harbinger Group Inc (NYSE:HRG) has bid to buy Central Garden & Pet Co (NASDAQ:CENT) at a price of $10 per share for both Class A and B shares. That’s an 11% premium from Friday’s closing price and a 27.5% premium from June 6 before Harbinger first said it had acquired a more than 4% stake in the company and was seeking “strategic alternatives.”

Central Garden & Pet

Harbinger offers $505 million for Central Garden

MarketWatch reports that the offer is worth approximately $505 million or $1.1 billion including the assumption of debt. The company currently has $545 million in long-term debt, regulatory filings show. Harbinger Group Inc (NYSE:HRG) also offered an alternative, bidding $750 million for Central Garden & Pet Co (NASDAQ:CENT)’s pet business only. The firm said it could raise the price of its bids if the company’s board of directors enters into negotiations.

Central Garden & Pet Co (NASDAQ:CENT) currently runs a lawn and garden business in addition to its pet business. Under the lawn and garden segment, the company sells weed killer, flower pots and grass seed. The company’s lawn and garden division owns the Cedar Works and Grant’s Kill Ants brands. Its pet supply division sells dog bones, aquariums and vitamins for hoses. Central Garden owns the Nylabone, Breeder’s Choice and Pennington Seed pet care brands as well.

Harbinger pursues Central Garden

In May, the company reported net income of approximately $221 million and revenue of $502 million for the second quarter. The pet segment alone reported $217 million in revenue for the quarter.

The New York Times reports that Harbinger Group Inc (NYSE:HRG) has expressed interest in Central Garden & Pet Co (NASDAQ:CENT) several of times in the past. The firm said it has been contacting Central Pet Chairman and biggest shareholder William Brown numerous times to but the company. However, he has apparently been unwilling to discuss it. Brown’s stake in the pet care and lawn care business is greater than 26%.