CHARLOTTE, N.C. - Charlotte-based Bojangles' is being sold.
Two groups, Durational Capital Management and the Jordan Company will acquire Bojangles', according to a company press release.
“Bojangles’ is an iconic brand with an authentic Southern heritage and a deeply loyal following,” Managing Partner at Durational Capital Management Eric Sobotka said. “We have admired the brand and its high quality and craveable food for years, and we look forward to partnering closely with the employees and franchisees to drive its future growth and continued success."
Officials said the Bojangles' Board of Directors unanimously approved the deal, but stockholders will still have a vote.
"For the Bojangles' family of employees, franchisees, and our customers, today's announcement represents an exciting next phase for this great brand. The new ownership group is committed to maintaining the qualities of this brand that have sustained it for over four decades," Bojangles' Interim President and CEO Randy Kibler said.
“That’s sad,” said regular customer Tameka Penninger, who had not heard the news.
But it didn’t come as a surprise to Cindy Fox, with the Belk College of Business at UNC Charlotte.
“I think one of their problems was they expanded quickly,” Fox told Channel 9. “They went into markets like Indiana and Washington D.C., where the southern style doesn’t really sell and they’re up against really big competitors.”
Bojangles' said it will pay shareholders $16.10 a share.
In a release, the company said Bojangles' will remain based in Charlotte.
Fox said with two private firms buying the chain that has grown to 766 stores, Bojangles will likely try to better compete with similar restaurants.
“The economy is doing well. It’s just people’s tastes are changing. They’re going to fast casual, going to places they can make more choices and more healthy choices,” Fox said.
Healthier options would be a welcome change to some customers, including Penninger. “If they offer more of that, it might be better,” she said.
The number of Bojangles restaurants has grown to more than 300 in North Carolina alone.
The deal is expected to close in the first quarter of next year.
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