CINCINNATI (FOX19) -
The iconic Frisch's Restaurants is being sold to a private equity firm for $175 million.
NRD Partners I, L.P. will acquire all outstanding shares of Frisch's for $34 per share, which represents a premium of about 21 percent as compared to the closing price of the company's stock.
The Cincinnati-based Frisch's will continue operating as a full-service, family-style restaurant chain and retain the ability to maintain its quarterly dividend policy until the close of the transaction, expected in September.
At that time, Craig F. Maier, the company's chief executive officer, and Karen F. Maier, vice president of marketing, will retire but will remain as franchisees of Frisch's.
"We are pleased to have reached an agreement that maximizes value for our shareholders and ensures the iconic Frisch's restaurants can continue to provide a full-service family dining experience to our guests," Maier said in a statement. "This is the culmination of over two years of strategic planning and this is the right transaction for the company.
"Frisch's has been a family operated business since my grandfather opened our first drive-in in 1939. On behalf of my entire family, I'd like to thank our loyal customers for allowing us to serve them ever since."
"Frisch's restaurants are among the most classic and adored family restaurants in the country," added Aziz Hashim, NRD Partners I, L.P.'s chief executive officer. "We are excited to have an opportunity to acquire and implement our franchise growth strategy with this beloved brand."