With a current market capitalization of $306 million and a P/E ratio of 11.9x, the company's valuation metrics suggest an interesting opportunity. InvestingPro subscribers can access comprehensive acquisition analysis tools and 8 additional ProTips to evaluate this potential deal. El Pollo Loco's Board of Directors is currently conducting a fiduciary review of the proposal. In conjunction with this, the company has entered into a confidentiality agreement with Biglari Capital as of April 6th. This agreement includes a standstill clause that prevents Biglari from increasing its share ownership until 30 days before the nomination of Board members for the 2026 Annual Meeting. Biglari Capital has recently increased its stake in El Pollo Loco, as reported in a 13-D/A filing, bringing its total ownership to 15.1%. This increment positions Biglari as an "acquiring person" under the terms of the poison pill strategy that El Pollo Loco amended in August 2024.