Arby's buying out Buffalo Wild Wings in multi-billion dollar deal

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(CNN) -- Arby's is buying Buffalo Wild Wings, the chain of sports bars, for $2.9 billion.

In an all-cash deal, Arby's is paying $157 per share for Buffalo Wild Wings, a 7% premium based on Monday’s closing price.

Buffalo Wild Wings stock had been much lower before rumors about a deal with Arby's surfaced two weeks ago.

The stock rose again in pre-market trading Tuesday on news of the purchase agreement.

The deal will take Buffalo Wild Wings private.

Arby's is owned by Roark Capital, which also has big stakes in Auntie Anne's, Carvel And Jimmy John's.