Denny's to be acquired and taken private in a deal valued at $620 million

"Under the agreement, Denny's shareholders will receive $6.25 per share in cash for each share of Denny's common stock they own, or a total of $322 million. That represents a 52% premium to Denny's closing stock price Monday."

"Denny's was founded in 1953 in Lakewood, California, as Danny's Donuts. The name was changed to Denny's Coffee Shops in 1959 to avoid confusion with another chain. Denny's began trading on the New York Stock Exchange in 1969."

"Like many casual chains, Denny's saw its sales plummet during the COVID pandemic. Once the pandemic eased, it found itself dealing with changing customer dining patterns, including a heavier reliance on delivery. Denny's has also struggled as newer chains like First Watch promoted healthier breakfast options."

"TriArtisan Co-Founder and Managing Director Rhohit Manocha called Denny's "an iconic piece of the American dream" with a strong franchise base and loyal customers."

Denny's will be acquired and taken private in a deal valuing the company at $620 million including debt, with shareholders receiving $6.25 per share in cash, a $322 million total. The purchase will be led by TriArtisan Capital Advisors, Treville Capital and Yadav Enterprises, and the board unanimously approved the transaction. The per-share price represents a 52% premium over the closing stock price, and shares jumped 47% in after-hours trading. Denny's has 1,558 restaurants worldwide and acquired Keke's in 2022. The chain faced sales declines during COVID, shifting dining patterns, and plans to close 150 underperforming locations. CEO Kelli Valade solicited offers from more than 40 potential buyers and received multiple offers.

Read at ABC7 Los Angeles