Bagger Dave's is getting a new owner.
Minnetonka, Minnesota-based BT Brands Inc. said Monday it is working with an investment banker to evaluate options, including a possible merger, after a strategic review that began last year.
The company holds a more-than 40% stake in Bagger Dave’s Burger Tavern Inc., which operates five Bagger Dave’s restaurants in Michigan, Ohio and Indiana.
BT Brands is currently negotiating a sale of those Bagger Dave’s restaurants, which is expected to close in the third quarter. The buyer was not disclosed.
Bagger Dave's was spun off from Diversified Restaurant Holdings in 2016. Last year, BT Brands said the units might be converted to another brand.
BT Brands also owns seven units of the quick-service Burger Time brand, along with Keegan’s Seafood Grille and Schnitzel Haus, both in Florida; and Pie In The Sky Coffee and Bakery in Massachusetts.
During the March 30-ended first quarter, the company closed two restaurants: Village Bier Garden, which had locations in Cocoa, Florida, and Ham Lake, Minnesota, according to the company’s last quarterly report.
In the first quarter, the company reported a net loss of $329,849, which was an improvement from the net loss of $445,700 the prior year.
BT Brands held an initial public offering in November 2021 and went on a buying spree, building a stable of concepts through acquisition, in addition to the investment in Bagger Dave’s.
On Monday, the company said its strategic review included a look at more opportunities in the food industry, but also other potential industries, including biotechnology, cryptocurrency and the drone sector.
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