USA | Darden Restaurants has announced it will acquire Chuy's Holdings, a transaction expected to be worth approximately USD 605 million.
Darden Restaurants, Inc. and Chuy's Holdings, Inc. have jointly announced a definitive agreement pursuant to which Darden will acquire all of the outstanding shares of Chuy's for USD 37.50 per share, in an all-cash transaction with an enterprise value of approximately USD 605 million.
Chuy's will complement Darden's portfolio of iconic brands, which currently includes Olive Garden, LongHorn Steakhouse, Yard House, Ruth's Chris Steak House, Cheddar's Scratch Kitchen, The Capital Grille, Seasons 52, Eddie V's and Bahama Breeze.
Founded in Austin, Texas, in 1982, Chuy's owns and operates full-service restaurants serving a distinct menu of authentic, made-from-scratch Tex-Mex-inspired dishes. Chuy's highly flavorful and freshly prepared fare is served in a fun, eclectic and irreverent atmosphere, while each location offers a unique, "unchained" look and feel, as expressed by Chuy's motto: "If you've seen one Chuy's, you've seen one Chuy's."
Chuy's had 101 restaurants in 15 states as of July 2024, and in the latest twelve months ending March 31, 2024, generated total revenues of over USD 450 million and average annual restaurant volumes of USD 4.5 million.
"Chuy's is a differentiated brand within the full-service dining industry with strong performance and growth potential," said Darden President and CEO Rick Cardenas.
"Based on our criteria for adding a brand to the Darden portfolio, we believe Chuy's is an excellent fit that supports our winning strategy. I am excited to welcome their 7,400 team members to Darden and diversify the Darden portfolio into a new dining category."
Steven Hislop, Chairman, CEO and President of Chuy's, said the company was excited about the opportunity to join the Darden family and its portfolio of well-respected brands.
"Darden shares many of our same core values, particularly our operating philosophy and strong team member cultures. Together we will accelerate our business goals and bring our authentic, made-from-scratch Tex-Mex to more guests and communities," said Hislop.
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