A company is moving ahead with a deal to buy Maryville-based restaurant chain Ruby Tuesday.
The board of directors for private equity firm National Restaurant Development Capital and Ruby Tuesday unanimously agreed to the deal to transfer all of the company's common stock Monday for $2.40 per share. The total enterprise value of the deal is approximately $335 million.
The acquisition is expected to completed early in 2018.
Ruby Tuesday has faced financial trouble in the past years, shuttering doors to 95 stores in Aug. 2016 as part of what it called its "Fresh Start" initiative. In March 2017, the company announced its intention to explore strategic alternatives to revitalize its business.
"The Board of Directors and our advisors have thoroughly evaluated all options available to the company and are confident that this agreement will provide the most promising opportunity to realize the highest value for our stockholders while providing the best path forward for the Ruby Tuesday brand, its employees, franchisees, and loyal customers,” said Stephen Sadove, Non-executive Chairman of Ruby Tuesday in the press release. “NRD Capital has a distinguished track record of achieving and maintaining profitable growth for restaurant concepts and will be an excellent partner to lead Ruby Tuesday going forward."
As of Sept. 5, Ruby Tuesday had 599 restaurants across the world.
Atlanta-based NRD Capital is currently the parent company of Frisch's Big Boy and Fuzzy's Taco Shop, and in the past the firm's founder had owned franchises with Taco Bell, Checkers and Popeyes Louisiana Kitchen.