Meat-centric sandwich chain Arby’s said Tuesday that it’s buying Buffalo Wild Wings for about $2.4 billion, making it the latest casual restaurant chain to be taken private.
Buffalo Wild Wings, which serves chicken wings in a sports bar-like atmosphere, has reported falling sales as it and other casual restaurants lose customers to cheaper and faster chains. In the most recent quarter, it reported a 2.3 percent sales drop at its established restaurants.
Other chains that have been taken private this year include Panera Bread, which was bought in July for more than $7 billion by JAB Holding Co., and sit-down chain Ruby Tuesday Inc., which agreed last month to be sold to private-equity firm NRD Capital for $146 million.
Atlanta-based Arby’s said Buffalo Wild Wings will operate as an independent brand. Analysts said the two chains seemed to be a good match for each other.
“They both appeal to men,” says Bonnie Riggs, a restaurant industry analyst at NPD. Both are also popular among families with kids, she says.