Denny's Corp (NASDAQ: DENN) shares surged more than 50% in early trading on Tuesday after the family diner restaurant chain announced that it will be taken private for $6.25 per share in cash, representing an enterprise value of about $620 million.
Denny's will be acquired by a group consisting of private equity firm TriArtisan Capital Advisors LLC, alternative asset manager Treville Capital Group, and Yadav Enterprises Inc, one of Denny’s biggest franchisees.
The transaction is expected to close in the first quarter of 2026.
The company has closed 180 of its locations over the past two years as part of a turnaround initiative that involves remodeling its restaurants and introducing new menu items to boost traffic.
Denny’s, originally known as Danny’s Donuts, was founded in 1953 and has been a publicly traded company since 1969.