Sentinel in talks to sell TGI Fridays’s stake

TriArtisan Capital Advisors is in talks to buy the chunk of TGI Fridays that it doesn’t already own, two sources said.

Sentinel Capital, which has a majority stake in TGI, is selling, the people said. Other investors are also exiting, one of the sources said.

It’s unclear how much TriArtisan is paying. TriArtisan is an independent sponsor and typically teams up with a partner to buy companies. It’s not clear if another investor is involved in the TGI deal.

TGI Fridays is a casual dining bar and grill that serves pasta, salads and ribs, in addition to burgers and wings. The Carrollton, Texas, company owns, operates and franchises more than 870 restaurants in more than 55 countries. TriArtisan owns a minority of TGI, one of the sources said.

Sentinel and TriArtisan acquired TGI in May 2014. The deal was valued at north of $800 million, the Wall Street Journal reported. TGI produced about $1.4 billion in revenue in 2014, Moody’s Investors Service said. Carlson Restaurants Inc was the seller.

The investors, including Sentinel and TriArtisan, invested $200 million equity as part of the 2014 deal, Buyouts reported, citing Moody’s.

TriArtisan, of New York, does not have a fund. The firm invests in companies with Ebitda of $25 million to $300 million, its website said. It focuses on sectors including retail and consumer, business and professional services, industrial, media and healthcare.

Recently, TriArtisan has been fond of restaurant deals. In July, TriArtisan teamed up with Nord Bay Capital to buy Hooters of America, Buyouts said. That deal was valued at north of $350 million.

Paulson & Co and TriArtisan closed their $700 million buy of P.F. Chang’s China Bistro Inc from Centerbridge in March.

TGI, Sentinel and TriArtisan could not be reached for comment.

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