Greenwich-based private equity firms L Catterton and Oak Investment Partners have agreed to sell the Cheddar”™s Scratch Kitchen chain to Darden Restaurants Inc. in a $780 million all-cash transaction. The deal is expected to close in May.
Cheddar”™s, based in Irving, Texas, has 165 locations in 28 states and has average annual restaurant volumes of $4.4 million. Darden, headquartered in Orlando, owns such other casual dining chains as Olive Garden, LongHorn Steakhouse, Capital Grille and Yard House. Cheddar”™s CEO Ian Baines will remain as president and report to Darden President and CEO Gene Lee.
L Catterton and Oak Investment Partners acquired Cheddar’s from Brazos Restaurant Holding Co. LLC in 2006 for an undisclosed amount.
