Wagamama set to be sold to Restaurant Group for £357 million
The deal will be funded through a combination of cash, debt and the rights issue.
Pan-Asian restaurant brand Wagamama has been purchased by the Restaurant Group, the owner of the Garfunkel’s and Frankie and Benny’s restaurant chains, for £357 million in cash.
The group, which also owns the Chiquito chain, will launch a £315m rights issue to finance the deal.
Wagamama said in their announcement that the deal had an enterprise value of £559 million.
“After 5 years of leading exceptional results at Wagamama, Jane Holbrook, CEO, will be stepping down upon completion,” chairman Allan Leighton said.
Emma Woods, the company's chief growth officer, will succeed Holbrook.
Wagamama was started in 1992 in Bloomsbury by Alan Yau, who subsequently created the Michelin-starred Chinese restaurants Hakkasan and Yauatcha. Its current owner, the private equity firm Duke Street Capital, bought the chain in 2011 for a reported £215 million.
