Arby's Parent Company Buys Buffalo Wild Wings For $2.4 Billion

Arby's parent company, Roark Capital Group, will purchase Buffalo Wild Wings for $2.4 billion. Reuters reports this move comes just months after an activist investor gained seats on the restaurant's board to fight for a change in management. Roark will buy the company for $157 per share, which is at a 34 percent premium compared to its stock price on November 13. Just 15 days later, Buffalo Wild Wings shares were up 6.6 percent at $156 in premarket trading.

With debt included, the investment is valued at about $2.9 billion. Following the deal's close in early 2018, Buffalo Wild Wings will become a privately held unit of Arby's and operate as an independent brand, according to Reuters.

"Buffalo Wild Wings is one of the most distinctive and successful entertainment and casual dining restaurant companies in America," Arby's CEO Paul Brown said, according to USA Today. "We are excited to welcome a brand with such a rich heritage, led by an exceptionally talented team. We look forward to leveraging the combined strengths of both organizations into a truly differentiated and transformative multi-brand restaurant company."

Other restaurant acquisitions by private equity firms in recent years include NRD Capital's takeover of Ruby Tuesday for $335 Million and JAB Holdings' purchase of Panera Bread and Krispy Kreme.

For more on Arby's, here are 10 things you didn't know about the Georgia-based fast-food brand.