Galloway Capital Partners Acquires Minority Stake In Noodles & Company For Undisclosed Sum

(RTTNews) - Investment firm Galloway Capital Partners, LLC, Wednesday announced the acquisition of a 6.01 percent stake in fast-casual restaurant Noodles & Company (NDLS). The financial terms of the deal were not disclosed.

Following the acquisition, the company believes that Noodles' shares are materially undervalued and that management and the Board should take decisive steps to enhance shareholder value.

The company's Chief Investment Officer Bruce Galloway suggested the sale of approximately 200 restaurants to raise roughly $60 million in proceeds, which would allow Noodles to pay off its high-cost debt.

Galloway added, "Our focus is on partnering constructively with management to drive performance and unlock shareholder value."

In the pre-market hours, NDLS is trading at $0.82, up 2.84 percent on the Nasdaq.