Denny’s, famously known as “America’s Diner,” is set to go private in a $620 million deal led by Tri Artisan Capital Advisors, Treville Capital, and Yadav Enterprises. As the new owners take charge, the company looks to honor its classic identity while adapting to modern dining trends and customer expectations.
Nov. 3 (Reuters/Business Desk) — Iconic American restaurant chain Denny’s has agreed to be taken private in an all-cash deal valued at approximately $620 million, marking another major private equity move in the restaurant industry.
Under the agreement, Tri Artisan Capital Advisors — the owner of TGI Fridays — will lead the investor group alongside Treville Capital and Yadav Enterprises, one of Denny’s largest franchisees. The consortium will acquire Denny’s common stock for $6.25 per share in cash, representing a 52.1% premium to the stock’s last closing price.
Following the announcement, Denny’s shares surged nearly 50% in premarket trading, setting the stage for its biggest single-day gain in more than two decades.
A Landmark Deal in the Restaurant Industry
The deal, which includes debt, shows that established restaurant chains are becoming more and more popular targets for private equity buyouts. This trend has gotten stronger over the past few years, with big deals like Subway and Dave’s Hot Chicken being bought out, and most recently, Apollo Global Management made bids to buy out Papa John’s.
For Denny’s, the deal provides a much-needed boost after periods of sluggish same-store sales and restaurant closures. The company, famous for its affordable breakfasts and 24/7 diner model, has been listed on the Nasdaq since 2004. Once the transaction closes, expected in the first quarter of 2026, Denny’s stock will be delisted and the company will become privately held.
Board’s Strategic Review and Buyout Decision
Denny’s CEO Kelli Valade said the company’s board conducted a comprehensive strategic review after receiving initial interest from Tri Artisan.
“”We are happy to go through with this deal because it gives our stockholders significant, near-term, and certain cash value,” Valade said in a statement. “The board is sure that this deal is the best way for the company and its shareholders to move forward.”
Valade added that Denny’s engaged with more than 40 potential buyers before selecting the Tri Artisan-led group. The board unanimously approved the deal, which it determined to be fair and in the best interests of stockholders.
Who’s Behind the Buyout
The buyer group brings together three experienced players in the restaurant and investment sectors:
TriArtisan Capital Advisors, based in New York, is known for its investments in P.F. Chang’s and TGI Fridays, and has extensive experience managing global dining and entertainment brands.
Treville Capital Group focuses on managing alternative assets and creating custom capital solutions for businesses that want to grow.
Anil Yadav is the owner of Yadav Enterprises, which is one of the biggest Denny’s franchises. It runs almost 350 restaurants under names like TGI Fridays, Jack in the Box, El Pollo Loco, Corner Bakery Café, and Denny’s. In 2021, it also acquired Taco Cabana from Fiesta Restaurant Group.
Market Reactions and Industry Context
Shares of Denny’s Corp (DENN.O) soared nearly 50% in early Tuesday trading, marking one of the biggest intraday surges since March 2003. The jump came after months of stock underperformance — Denny’s shares had fallen more than 30% year-to-date prior to the announcement, weighed down by competitive pressures and inflation’s impact on casual dining.
TriArtisan co-founder Rohit Manocha described Denny’s as a “renowned American brand” with “a strong franchise base and loyal customer following.”
“The people on our team have a lot of experience investing in restaurants, Manocha said. “We can’t wait to help Denny’s grow and come up with new ideas with Kelli and the rest of the team.”
Challenges and the Road Ahead
While Denny’s is a well-known brand, it has had a rough few years due to rising costs, more competition, and shifting customer tastes.. In the beginning of this year, active investor JCP Investment Management also went after the company and told management to increase shareholder value.
The buyout gives Denny’s an opportunity to restructure outside the pressures of public markets, focus on its core “America’s Diner” identity, and accelerate initiatives across both its Denny’s and Keke’s Breakfast Café platforms.
Valade emphasized that the transaction “reflects the hard work and innovation” of Denny’s employees and franchisees, adding:
“This deal will help us continue to deliver great dining experiences while positioning the brand for future growth.”
Closing Details
The acquisition, expected to finalize in Q1 2026, is subject to customary regulatory approvals and closing conditions. Upon completion, Denny’s will cease trading on the Nasdaq, becoming a privately held company backed by some of the most experienced investors in the restaurant industry.
The deal highlights continued private equity interest in the U.S. dining sector, with Starbucks’ $4 billion China stake sale to Boyu Capital and Electronic Arts’ $55 billion buyout by Saudi Arabia’s PIF and Silver Lake also making headlines this week.
Conclusion
The $620 million deal to buy Denny’s shows that investors are once again confident in traditional dining brands and that there is a wider shift toward private ownership in the food business. As Tri Artisan, Treville, and Yadav Enterprises take ownership of Denny’s, the company aims to preserve its legacy as “America’s Diner” while evolving to meet the changing preferences of today’s customers
