TGI Fridays chain to be acquired by private equity firm

Sentinel Capital Partners and TriArtisan Capital Partners agreed to acquire TGI Fridays Restaurants from Minneapolis-based Carlson, a hospitality and travel company. The financial terms of the pending deal were not disclosed, but it’s valued at more than $800 million, according to The Wall Street Journal.

“We are proud of the Fridays brand and strong marketplace momentum that has been created over the past nearly four decades,” said Trudy Rautio, president and CEO of Carlson. “This transaction is a win for all parties, and we are excited and confident that under Sentinel’s ownership Fridays will continue to experience significant growth and capitalize on new opportunities. For Carlson, this transaction frees up resources that the company can deploy to focus on and accelerate the growth of its hotel and travel businesses, at a time when significant opportunities exist in these markets.”

Carlson first announced its intent to explore “strategic alternatives” for TGI Fridays in November.

Nick Sheperd, president and CEO, will continue to lead TGI Fridays, a chain than has more than 900 restaurants and consolidated sales of $2.7 billion last year.

“We are very excited to partner with TGI Fridays’ outstanding management team,” said John McCormack, a Sentinel senior partner. “TGI Fridays is an iconic global brand with a long history of solid performance and a significant opportunity for future growth.”

This deal comes of the heels of Darden’s sale of Red Lobster for $2.1 billion to Golden Gate Capital, also a private equity firm.