1851

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. 

tgi-fridays-to-go-public-in-380m-deal-with-allegro-merger

Children's Lighthouse

How Children’s Lighthouse Stands Out Among Other Children’s Education, Childcare, and Daycare Franchises

how-childrens-lighthouse-stands-out-among-other-childrens-education-childcare-and-daycare-franchises

The Growth Coach

The Growth Coach Franchise Costs, Fees, Profit and Data for 2025

the-growth-coach-franchise-costs-fees-profit-and-data-for-2025

One Hour Heating and Air Conditioning

Why One Hour Heating & Air Conditioning Sees People as the Power Behind Franchise Growth

one-hour-heating-air-conditioning-franchise-growth

Lawn Doctor

Design with photo of John Perry and Lawn Doctor logo

How a 20-Year Industry Veteran Tripled His Sales With a Lawn Doctor Franchise

lawn-doctor-franchise-success-story-john-perry

Fitness Premier

The Secret to Fitness Franchise Success? It's Not Just the Workouts

fitness-premier-franchise-marketing-support

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Design with American and Federal Reserve flags against light blue background

Federal Reserve Expected To Cut Rates by Quarter Point, a Move That Could Boost Franchise Growth

fed-rate-cut-boosts-franchise-growth

Potbelly to be Acquired by RaceTrac in $566 Million Deal 

racetrac-acquires-potbelly-in-566-million-deal

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities - 1851 Franchise Agg

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities 

health-care-hiring-slowdown-in-home-care-franchise-opportunities

Caribou Coffee Names Scott Kennedy CEO, Eyes Continued Growth

caribou-coffee-names-scott-kennedy-ceo-eyes-continued-growth

McDonald’s Launches New Extra Value Meals as Consumer Demand for Value Continues to Climb

mcdonalds-launches-extra-value-meals

Technomic Releases Annual Ranking of the Top 15 Fast-Food Chains in the U.S.

technomic-releases-annual-ranking-of-the-top-15-fast-food-chains-in-the-us

Friendly’s Parent Company Acquired by Multi-Unit Franchisee as More Owners Take the Lead in Brand Acquisitions 

friendlys-parent-company-acquired-by-multi-unit-franchisee-as-more-owners-take-the-lead-in-brand-acquisitions

Hely and Hiral Patel Bring Their Longtime Dream to Life With The Brass Tap

brass-tap-franchise-pasadena-maryland-hely-hiral-patel

1851 Keyword - The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

part-time-franchises-picking-the-right-model

Franchisee spotlight graphic with photo of Ricki Oberoi and Layne's Chicken Fingers logo

Multi-Unit Wendy’s Operator Signs 12-Unit Deal With Layne’s Chicken Fingers

ricki-oberoi-laynes-chicken-fingers-growth

DevHub - Meet the Supplier - 1851 Franchise

DevHub: Scalable Digital Marketing for Franchises and Multi-Location Brands

devhub-meet-the-supplier

1851 Franchise Deep Dive graphic with Sparkle Squad logo

Sparkle Squad Franchise Costs, Fees, Profit and Data for 2025

franchise-deep-dive-sparkle-squad-franchise-costs-fees-profit-and-data

Design with school-aged child standing on pencil with text "Education Franchises" and "<$500K"

Top Education Franchises Under $500K To Explore in 2025

top-education-franchises-under-500k

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

MORE STORIES LIKE THIS