- Dine Brands Global Inc DIN has agreed to acquire Fuzzy's Taco Shop from Experiential Brands LLC, a wholly owned subsidiary of NRD Holding Company, for $80 million in cash.
- Net of tax benefits, the purchase price is approximately $70 million. The transaction is expected to be immediately accretive to earnings.
- Founded in 2003, Fuzzy's is a fast-casual restaurant concept serving Mexican favorites with a Baja twist. It has 138 restaurants in 18 states.
- The brand is expected to generate approximately $230 million in systemwide sales in 2022.
- Fuzzy's Chief Executive Officer Paul Damico will continue to drive the brand's future under the Dine Brands umbrella.
- "It is an attractive asset with a tremendous growth trajectory and will be a complementary addition to our highly franchised portfolio," said CEO John Peyton
- Dine Brands held $424.2 million in cash and equivalents as of September 30, 2022.
- Price Action: DIN shares closed lower by 1.80% at $72.95 on Friday.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.