Authentic Restaurant Brands (“ARB”), a portfolio company of Garnett Station Partners, LLC (“Garnett Station” or “GSP”), a New York-based principal investment firm, today announced the completion of its previously announced acquisition of Fiesta Restaurant Group, Inc. (“Fiesta” or the “Company”) (NASDAQ: FRGI), parent company of the Pollo Tropical restaurant brand.
“Our distinct vision for Pollo Tropical is to amplify the fundamental aspects of the brand that customers love and expand its capabilities to deliver high-quality, affordable food in a casual setting,” says Alex Macedo, Chairman of Authentic Restaurant Brands. “ARB’s extensive knowledge of regional restaurant markets and expertise in growing local brands will be crucial in developing and cultivating Pollo Tropical as a leading restaurant concept.”
Matt Perelman, Managing Partner and Co-Founder of Garnett Station Partners added, “We are proud to add Pollo Tropical to ARB’s existing portfolio of successful culinary brands catered to local markets and look forward to working with the Fiesta team to elevate the Pollo Tropical brand together.”
“We are pleased to deliver significant, immediate and compelling value to our stockholders with the completion of this transaction,” says Dirk Montgomery, Fiesta Restaurant Group President and Chief Executive Officer. “We are beginning the next phase for Pollo Tropical as part of a private company with a terrific partner that brings experience, expertise and the resources to help drive our continued success. We look forward to joining the ARB and Garnett Station Partners teams as we continue providing great food and hospitality to our guests.”
Under the terms of the definitive agreement, a wholly owned subsidiary of ARB acquired all of the outstanding shares of Fiesta. The consideration paid to Fiesta common stockholders as part of the transaction is $8.50 per share in cash.
Stockholders approved the merger agreement proposal at a special meeting of Fiesta stockholders on October 24, 2023, in connection with the previously announced definitive agreement between the Company and ARB. Trading of Fiesta’s common stock on NASDAQ Global Exchange was halted on October 30, 2023.
