Red Robin Gourmet Burgers Sells 116 Restaurants for ~$96M

What Happened

• Red Robin Gourmet Burgers, Inc. (through its subsidiary Red Robin International, Inc.) announced completed asset sales of company-owned restaurants to three buyers. On August 26, 2026, RRI closed the sale of 30 Washington and western Idaho restaurants to Evergreen Dining LLC for $23.5 million. On August 31, 2026, RRI closed sales to Op Burgers, LLC (61 of 69 restaurants at the first closing for approximately $55.9 million cash; a second closing for the remaining 8 restaurants is expected before the end of RRI’s 2026 fiscal year for an additional ~ $6.6 million) and to Kuber Oregon/Washington LLCs (17 restaurants) for $10.0 million. Together the Transactions total roughly $96.0 million in aggregate purchase price, subject to customary adjustments. Each buyer will operate the locations as franchised Red Robin restaurants under long-term franchise agreements.

Key Details

• Total restaurants sold: 116 (30 to Evergreen, 69 to Op Burgers (61 closed; 8 pending), 17 to Kuber).
• Aggregate purchase prices: Evergreen $23.5M; Op Burgers $62.5M total (≈$55.9M received at first closing; ≈$6.6M expected at second closing); Kuber $10.0M.
• Closing dates: Evergreen closed Aug 26, 2026; Op Burgers (first closing) and Kuber closed Aug 31, 2026. Op Burgers remaining 8 restaurants to close after liquor-license transfers.
• Use of proceeds: Company stated net proceeds will be used primarily to repay outstanding borrowings under its credit facility and for general corporate purposes. Pro forma financial information reflecting the Transactions was filed as Exhibit 99.2.

Why It Matters

• The Transactions convert 116 company-operated Red Robin locations into franchised units, reducing the company-owned restaurant base and shifting those locations to franchise operators (fact stated in the filing). The roughly $96M of gross proceeds (subject to adjustments) is intended primarily to pay down RRGB’s credit facility, which directly affects the company’s liquidity and leverage position. The company also provided unaudited pro forma condensed consolidated financial information to show the financial impact of these asset sales.