Franchise News
The struggling full-service gourmet burger concept is being sought out by third-largest stockholders Vintage Capital, but board members are not in favor of a sale just yet.
Following recent restaurant closings and reorganization efforts, Greenwood Village, Colorado-based chain Red Robin has seen better days. Although Red Robin has not ruled out a sale completely, the brand turned down private meeting with stockholders initiated by Vintage Capital Management LLC last week. Vintage Capital is the third-largest shareholder of Red Robin stock with 1.5 million shares.
Tensions between shareholders, board members and company leadership have prolonged potential negotiations. The original offer letter, reported by Nation’s Restaurant News, stated that the company is looking to replace the current interim CEO Pattye Moore. “It is clear that many such quality candidates are refusing to entertain the opportunity due to a lack of confidence in the Board’s leadership and Red Robin’s disastrous operating and market performance,” stated the letter.
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