Denny’s Acquires 52-Unit Breakfast Chain for $82.5M

Denny’s Corp. has added a complementary breakfast chain to its portfolio. The company announced today it completed the acquisition of the 52-unit Keke’s Breakfast Cafe from K2 Restaurants for $82.5 million.

The Florida-based concept, offering handmade breakfast and lunch entrees, will continue operating independently from Denny’s with its own leadership, strategies, products, marketing operations and development initiatives.

“The A.M. eatery segment is fast-growing, and Keke’s is a brand with attractive unit economics and strong potential. This acquisition provides an exciting expansion opportunity through a complementary concept that serves a different guest and can enhance value for our shareholders,” says Kelli Valade, CEO and president of Denny’s, in a press release.

The acquisition was paid for using cash on hand and funds from the company’s revolving credit facility.