00:00Denny's sells off 1,400 locations in $620 million.
00:05Workers hit as 90 stores face acts.
00:10On January 16, 2026, Denny's went private in a roughly $620 million.
00:15Dollar deal, as its shares stopped trading at $6.25.
00:20The move came amid slowing performance.
00:22U.S. same-store sales fell 2.5%.
00:25In Q3 2025, and plans to close 70 to 90.
00:30locations by the end of 2025, raising questions about why the chain chose to go private.
00:35And which stores were first targeted.
00:37Behind the ownership change is a tougher reason.
00:40Denny's has been trimming underperforming locations, leading to closures.
00:45Reduced hours, and layoffs.
00:47While exact numbers vary, the strategy is clear.
00:50Shrink the footprint, cut low-volume stores, and focus on...
00:55Profitability, fueling anxiety around the 90 stores expected to close.
01:00Denny's began in 1953 as Denny's Donuts in California.
01:05Later evolving into the diner-style chain known today.
01:09It grew through the...
01:10In the 1950s and 1960s, went public in 1968, and eventually based its...
01:15corporate headquarters in Spartanburg, South Carolina.
01:18Like many casual dining chains...
01:20Denny's has faced lower demand post-pandemic, with customers more price conscious...
01:25or opting for quick service and home meals.
01:28In Q3 2025...
01:30U.S. same-store sales fell 2.9%, creating pressure on franchisees.
01:35Unlimited corporate options to closures, re-franchising, and cost cutting.
01:40In the past, the company's donation was announced in early November 2025, as an all-cash deal
01:44at $6.25.
01:45$0.25 per share described as a premium to the prior closing price and value
01:50at roughly $620 million, including debt.
01:55As of September 24, 2025, Denny's reported $1,400.
02:00159 Denny's restaurants worldwide, plus 78 Kiki's breakfast caps.
02:05For a total of $1,537 across the two brands.
02:11When restaurants close, workers feel it immediately.
02:14Commutes change.
02:15Schedules vanish.
02:17And communities lose familiar jobs.
02:19That's why.
02:20That does not automatically cover franchise restaurant employees, which is where most
02:23uncertainty concentrates.
02:25Chains built around daytime dining and AM eatery positioning.
02:30Have been taking share.
02:31And Denny's has acknowledged that competitive pressure has intensified.
02:35Inflation, labor costs, and shifting consumer habits have forced many sit-downs.
02:40Chains to rethink unit counts and value strategy.
02:43What's not in dispute is the outcome.
02:45The merger proposal passed by an overwhelming margin with tens of millions of shares.
02:50Voting in favor versus a small number against.
Comments