Red Robin Gourmet Burgers (NASDAQ: RRGB) Announces Investment and Board Appointments

Red Robin Gourmet Burgers, Inc., a restaurant chain known for its gourmet burgers, recently disclosed significant developments in a Form 8-K filing with the Securities and Exchange Commission made on December 3, 2024.

The company detailed that it has entered into a cooperation agreement with entities and persons associated with JCP Investment Management and Jumana Capital, known as the Investor Parties. As per the agreement, Red Robin Gourmet Burgers has agreed to appoint James C. Pappas and Christopher Martin as new directors to its board.

James C. Pappas, the Managing Member of JCP Investment Management, brings extensive experience, having held director roles in various public companies, including United Natural Foods, Inc. and Innovative Food Holdings, Inc. Christopher Martin, a Managing Director at Jumana Capital, has a background in private equity and financial management.

The newly appointed directors will play crucial roles, with Mr. Pappas and Mr. Martin becoming part of the board’s Finance Committee. Red Robin Gourmet Burgers mentioned that each of the directors will receive compensation consistent with other non-employee directors.

Additionally, the company has sealed an equity purchase agreement with affiliates of the Investor Parties for a private placement offering 1,600,909 shares of common stock at $5.19 per share. The proceeds from this transaction, expected to be approximately $8.3 million, will primarily be utilized to manage debts and for general corporate purposes.

The filing highlighted that the Private Placement is exempt from registration under the Securities Act of 1933, as amended, as it does not involve a public offering. Red Robin Gourmet Burgers aims to strengthen its financial position and is working towards maximizing shareholder value.

For further details on these agreements and developments, interested parties can refer to Red Robin Gourmet Burgers’ Form 8-K submission to the Securities and Exchange Commission.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Red Robin Gourmet Burgers’s 8K filing here.

About Red Robin Gourmet Burgers

Red Robin Gourmet Burgers, Inc, together with its subsidiaries, develops, operates, and franchises casual-dining restaurants, in North America and one Canadian province. Its restaurants primarily offer burgers and pizza, appetizers, salads, soups, other entrees, desserts, wings, milkshakes, alcoholic and non-alcoholic specialty drinks, cocktails, wine, and beers.