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As the <a href="https://www.fcsi.org/foodservice-consultant/the-americas/focus-casual-dining-sector-struggles-fast-casual-races-ahead-us/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger-2711579" target="_blank" rel="nofollow">full-service segment continues to struggle due to the rising popularity of fast casual and QSR chains</a>, many franchisors are looking for strategic moves to stay afloat. This week, <a href="https://www.restaurantdive.com/news/tgi-fridays-to-go-public-in-380m-sale-to-allegro-merger/566992/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger-2711579" target="_blank" rel="nofollow">TGI Fridays announced its latest attempt in the form of a business combination agreement with Allegro Merger Corp.</a>, a special purpose acquisition firm, that could take the casual restaurant chain public.Allegro Merger Corp. is a blank-check company, meaning it uses bank financing and funds from IPOs to purchase privately-held brands and take them public. If the deal goes through, the proceeds may help TGI Fridays pay off some of its debt, which could provide welcome relief for the brand as it continues to experience declining sales and diner interest.&nbsp;If the deal closes, TGI Fridays' shareholders will receive $30 million in a combination of cash and stock, and Allegro will take on around $350 million of debt.&nbsp;<a href="https://www.consolidatedfoodservice.com/blog/the-reasons-why-fast-casual-is-so-popular/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger-2711579" target="_blank" rel="nofollow">With the growing popularity of fast casual chains like Chipotle and Panera Bread</a>, full-service restaurants like TGI Fridays have begun to fall by the wayside. Not only are fewer families sitting down to eat, but restaurants such as <a href="https://www.latimes.com/business/la-fi-agenda-casual-dining-20170918-story.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger-2711579" target="_blank" rel="nofollow">Chili's or Applebee's have fallen victim to higher operational costs and lower grocery prices</a>, making them less appealing than more affordable fast casual options.TGI Fridays isn't the only full-service restaurant franchisor looking for an IPO through a blank check company this year. Chuck. E. Cheese's parent company Queso Holdings and its controlling stockholder, Apollo Global, <a href="https://www.bloomberg.com/news/articles/2019-07-29/apollo-s-deal-to-take-chuck-e-cheese-owner-public-falls-through?utm_source=1851franchise.com&utm_medium=article&utm_campaign=tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger-2711579" target="_blank" rel="nofollow">canceled their business combination agreement</a> with Leo Holdings in July. <a href="https://1851franchise.1851franchise.com/chuck-e-cheese-s-to-merge-and-go-public-2709655?utm_source=1851franchise.com&utm_medium=article&utm_campaign=tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger-2711579" target="_blank" rel="nofollow">The deal was slated to take the world’s largest “eatertainment” franchise public</a>.&nbsp;In 2014, <a href="https://www.cnbc.com/2014/05/20/carlson-sells-tgi-fridays-reportedly-for-800m.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger-2711579" target="_blank" rel="nofollow">TGI Fridays was sold to TriArtisan Capital Advisors LLC</a>, the current majority owners. Now, TriArtisan plans on exchanging a majority of its ownership in the restaurant for shares of Allegro. Fridays shareholders will gain an additional $2 million in Allegro shares if the restaurant meets undisclosed post-close performance goals.&nbsp;Considering the chain had been privately held since 1975, it’s clear that even the biggest full-service franchisors are doing whatever they can to adapt to these changing times.&nbsp;

TGI Fridays To Go Public in $380M Deal With Allegro Merger

1851 Franchise

The full-service franchise has been privately held since it merged with Carlson Restaurant in 1975 when the chain had only 12 restaurants. 

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Melting Pot

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Lexington Herald Leader: This Restaurant Chain Eyes a Return to Lexington After 10 Years

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Keke's Breakfast Cafe

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Empowering Leadership, One Pancake at a Time: How John and Kimberly Ehrhard Are Building a Franchise Legacy with Keke’s Breakfast Cafe

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Comfort Keepers

More Than a Caregiver: Loretta Smith's Support Extends to Fellow Caregivers, Clients and the Community

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Melting Pot Names New CEO, Celebrates 50th Anniversary With Continued Growth and Leadership Promotions

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