Cracker Barrel's largest shareholder says he is considering a bid for the restaurant chain, part of his efforts to change the company.

Sardar Biglari, through his investment firm Biglari Holdings, owns nearly 20% of Cracker Barrel. He has tried and failed multiple times to win a seat on the board. Shareholders also recently rejected his proposal for a $20-per-share special dividend.

He said in a letter Tuesday that the company's earnings power is "far too low" under current management and urged the company to consider selling itself. He says he could submit a bid and was talking with an investment bank about funding, but gave no further specifics.

He also suggested the company consider repurchasing shares.

Lebanon, Tenn.-based Cracker Barrel did not immediately respond to a request for comment.


 The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.