The TGI Fridays logo can be seen on one of their branches.
John Lamparski | Light rocket | Getty Images
TGI Fridays and Hostmore, the chain's British franchisee, announced plans to merge on Tuesday.
The all-share deal is worth 177 million pounds ($220 million). When it closes, TGI Fridays, best known for its potato skins, chicken wings and endless snacks, will be publicly traded on the London Stock Exchange under the ticker 'TGIF'.
The company's headquarters for its U.S. and global brand operations will remain in Dallas, Texas. CEO Weldon Spangler, who has led the company since October, will retain his current position.
“This transaction represents the next step in our journey as it increases our company-owned restaurant locations and provides capital to expand our presence globally,” Spangler said in a statement.
The new company would own 189 restaurants in the U.S. and Britain, the companies said. Franchisees would operate the remaining approximately 400 locations of the chain's global footprint, which spans 44 countries.
If approved by regulators, the merger is expected to close in the third quarter.
TriArtisan Capital Advisors bought TGI Fridays from longtime owner Carlson Restaurants in 2014 in a deal reportedly worth more than $800 million. TriArtisan also owns stakes in PF Chang's and Hooters.
In 2019, TGI Fridays announced plans to go public through a merger with a special purpose acquisition company, but that deal fell apart as the Covid pandemic roiled financial markets and the restaurant industry.
In 2022, TGI Fridays sales rose 3.6% to $75.2 million, according to U.S. franchise documents. But the bar and grill chain is stuck in a turnaround as malls decline and the casual dining segment loses customers.
Earlier this year, TGI Fridays closed 36 underperforming restaurants in the US