I & Joy Bagels Acquired by a New Jersey Company

Manhattan Bagel Co. has completed its acquisition of I & Joy Bagels for 1.5 million shares of common stock.

With the addition of I & Joy’s 16 stores, the Eatontown, N.J.-based Manhattan Bagel Co. now presides over a network of 107 units in 11 eastern states and California, the company reported.

In June, Manhattan Bagel agreed to purchase Bay Area Bagels, operator of eight Holy Bagel stores in San Francisco. All stores in California are scheduled to be converted to the name “I & Joy Manhattan Bagel” within the next 12 months.

I & Joy is now a wholly owned subsidiary of Manhattan Bagel Co. and will oversee all West Coast operations for the company, including I & Joy’s new factory and 24-hour cafe in North Hills, which is scheduled to open July 15..

The acquisition was structured as a tax-free reorganization. I & Joy shareholders now own 29% of Manhattan Bagel’s common stock, the company said.