Denny's announced Monday that it will be acquired by a group led by TriArtisan Capital Advisors, the owner of TGI Fridays, in a $620 million take-private deal, including debt.
The partnership also features Treville Capital, an investment firm, along with Yadav Enterprises, which operates as one of the biggest franchise owners within the Denny's network.
Under the agreement, Denny's shareholders will receive $6.25 per share in cash, a 52% premium over the stock's last close. After the announcement, shares jumped nearly 48% in after-hours trading.
Denny's board gave its full approval to the deal, saying it represents the most beneficial direction for both the company and its investors.
According to AP News, CEO Kelli Valade said the company reached out to over 40 potential buyers and received multiple offers before choosing this group.
"Denny's is an iconic piece of the American dream with a strong franchise base and loyal customers," said Rhohit Manocha, TriArtisan Co-Founder and Managing Director.
"We look forward to working with Kelli and the rest of the Denny's team and franchisees to provide resources and support the company's long-term strategic growth plans."
The deal continues a recent trend of private equity takeovers in the restaurant industry, following high-profile acquisitions such as Subway and Dave's Hot Chicken.
DENNY'S IS GOING PRIVATE
— Evan (@StockMKTNewz) November 4, 2025
Denny’s has agreed to be taken private in a $322 million deal, led by TriArtisan Capital Advisors the private-equity firm behind P.F. Chang’s and TGI Fridays - WSJ pic.twitter.com/YwvnhclSSx
Denny's Acquisition Expected to Close in Early 2026
Reuters reported that Apollo Global Management also submitted a fresh bid earlier this year to take Papa John's private.
Established in 1953 in Lakewood, California, the restaurant first operated under the name Danny's Donuts.
It later changed its name to Denny's Coffee Shops in 1959 to distinguish itself from a similarly named competitor.
The company began trading on the New York Stock Exchange in 1969.
The company runs a total of 1,558 restaurants across the globe, which include 1,422 Denny's branches and 74 Keke's outlets — the latter added to its portfolio following a 2022 acquisition.
Like many casual dining chains, Denny's struggled during the COVID-19 pandemic and faced shifting customer habits afterward, including an increased reliance on delivery services.
The company also competes with newer breakfast chains like First Watch, which emphasize healthier menu options. Last fall, Denny's announced plans to close 150 of its lowest-performing locations.
If approved by shareholders, the acquisition is expected to close in the first quarter of 2026. After the deal is finalized, Denny's common stock will no longer be listed on Nasdaq.
Originally published on vcpost.com
