Cincinnati-based Frisch’s announced this morning that it has agreed to sell “substantially all” of its Golden Corral restaurants and real estate to NRD Holdings LLC, an Atlanta-based operator of fast-food and pizza restaurants.
Terms of the transaction were not disclosed. The transaction is expected to close by the end of the company’s fiscal year ending May 29, 2012, according to a Frisch’s news release.
The Frisch’s web site for its Golden Corral restaurants lists seven in west-central Ohio, the Dayton area and northern Cincinnati, including one on Kingsridge Drive near the Dayton Mall in Miami Twp., on Commons Boulevard near the Mall at Fairfield Commons in Beavercreek, and on Miller Lane in Butler Twp., as well as locations in Middletown, Springfield, Fairfield and Symmes Twp.
Mark R. Lanning, vice president of finance and chief financial officer for Frisch’s, said NRD is expected to continue operating all of the Golden Corral restaurants that it is purchasing. The sale will have no direct impact on existing Frisch’s Big Boy restaurants, but “will allow us to focus on the Big Boy core brand” going forward, Lanning said.
Frisch’s officials have not decided how to allocate the proceeds from the sale. The restaurant chain is constantly evaluating older stores and has in some cases closed older stores after building a new restaurant nearby, the CFO said.
NRD also owns Popeyes restaurants in Atlanta and Checkers/Rally’s restaurants in Los Angeles, Phoenix and Atlanta. And the company has been expanding its restaurant holdings: In June 2011, its purchase of 23 Domino’s Pizza stores in Florida made it one of the top 25 Domino’s franchisees in the U.S., according to this AJC.com story.
“We are pleased with the conclusion of our review of strategic alternatives for our Golden Corral business segment and believe this outcome will enhance shareholder value,” Frisch’s Chief Executive Officer Craig F. Maier said in the news release.
Frisch’s, which traces its roots to 1905 when Samuel Frisch opened a Frisch’s Cafe in Cincinnati, operates Frisch’s Big Boy restaurants throughout Ohio and in Kentucky and Indiana.Tweet