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Darden Restaurants has struck a deal to sell the Red Lobster chain to private equity firm Golden Gate Capital for $2.1-billion (U.S.).
Darden Restaurants has struck a deal to sell the Red Lobster chain to private equity firm Golden Gate Capital for $2.1-billion (U.S.).
(Alan Diaz/AP)

Red Lobster sale shunts investors into the sidings

The sale of Red Lobster leaves a fishy smell at Darden Restaurants. A deal announced on Friday to offload the seafood chain to private equity firm Golden Gate Capital for $2.1-billion (U.S.) in cash pre-empted a non-binding vote on the separation forced by activists. Engaging with agitators doesn’t always bring harmony. The siege mentality, however, exposes Darden’s board and chief executive officer.