US: Thai Union Spends $575m For Stake In Red Lobster Chain

The Thai Union Group has acquired a 25% stake in the Red Lobster Seafood Restaurants, in a deal worth $575m.

Thai Union, the world’s biggest producer of canned tuna, said the move was part of its plan to expand in the US – its largest market. The deal includes $345m worth of preferred shares, which it can convert to stock within 10 years, giving it an additional 24% stake.

The company, which is an existing supplier of the seafood chain, said majority ownership and operational control will remain with private equity Golden Gate Capital.