In a $199 million deal, J. Alexander’s will acquire 99 Restaurants, a regional chain with 106 locations in operation throughout New England.
When the deal closes, 99 Restaurants will become a wholly-owned subsidiary of J. Alexander’s Holdings LLC. And J. Alexander’s will assume $20 million in debt from 99 Restaurants.
Lonnie J. Stout II, President and CEO of J. Alexander’s noted, “Ninety Nine Restaurant & Pub is a well operated concept. Founded in 1952, they are a strong regional competitor in the New England market with 106 restaurants currently in operation. They have a culture very similar to ours in that they are committed to outstanding guest service and putting employees first. Led by President Charlie Noyes, Ninety Nine has a tenured and deep management team.
Acquiring 99 Restaurants was attractive for a variety of reasons, according to Lonnie Stout, J. Alexander’s president and CEO. “Led by President Charlie Noyes, Ninety Nine has a tenured and deep management team. The team has weathered the casual dining headwinds very well and has posted same-store sales growth over the last few years that has outperformed the market,” Stout said. “They have a regional menu supported by a strong value proposition with a heavy concentration of restaurants in Massachusetts and the other New England states. This creates somewhat of a moat around the business.”