Red Lobster could be back in the game, with Darden Restaurants selling Red Lobster to Golden Gate Capital in July for $2.1 billion Red Lobster has made some changes. The menu is going to be more seafood friendly, which it should be because it’s their specialty. The revamped menu will have more than 85% of the meals will have a seafood protein.
With the new menu Red Lobster under the new ownership is putting their focus on its selling point and authenticity, seafood. Starboard Value an activist investment fund told Darden Restaurants to do the same that Golden Gate Capital is doing with Red Lobster, do that with Olive Garden. In September they released a 300 page evisceration (which is the removal of internal organs, or the board of directors to be removed from the company). This report was the last straw because last month the entire board of directors were replaced.
Starboard Value could have saved Darden Restaurants from closing, or losing even more money. If Red Lobster revamps it could be just as successful as it was when it started out. If Darden goes back to the basics with Olive Garden, the Italian chain will become more successful too.
http://www.buzzfeed.com/mariahsummers/red-lobsters-comeback-plan-more-lobster
With the new menu Red Lobster under the new ownership is putting their focus on its selling point and authenticity, seafood. Starboard Value an activist investment fund told Darden Restaurants to do the same that Golden Gate Capital is doing with Red Lobster, do that with Olive Garden. In September they released a 300 page evisceration (which is the removal of internal organs, or the board of directors to be removed from the company). This report was the last straw because last month the entire board of directors were replaced.
Starboard Value could have saved Darden Restaurants from closing, or losing even more money. If Red Lobster revamps it could be just as successful as it was when it started out. If Darden goes back to the basics with Olive Garden, the Italian chain will become more successful too.
http://www.buzzfeed.com/mariahsummers/red-lobsters-comeback-plan-more-lobster