AUSTIN, Texas — An iconic Austin chain will soon be under new ownership.
On Wednesday, Darden Restaurants, Inc. announced a mutual agreement to take over Tex-Mex restaurant Chuy's Holdings, Inc.
The decision enables Darden to obtain Chuy's shares for $37.50 per share in a cash deal with a value of roughly $605 million.
"We are excited about the opportunity to join the Darden family and its portfolio of well-respected brands," Chuy's CEO, president and chairmen Steven Hislop said. "Darden shares many of our same core values, particularly our operating philosophy and strong team member cultures."
The Orlando, Florida, based restaurant operator owns multiple popular eateries, including Olive Garden, Longhorn Steakhouse, Eddie V's, Cheddar's Scratch Kitchen, Bahama Breeze and more.
In total, Darden's operates more than 1900 restaurants across the country, 216 of which are located in Texas.
In Austin, Chuy's has remained a staple of Tex-Mex cuisine since its first location opened back in 1982 on Barton Springs Road.
For more than 40 years, the restaurant has been serving tacos, burritos, fajitas and more to its customers.
As of July, there are currently 101 Chuy's locations in 15 states across the U.S., such as Arkansas, Oklahoma, Florida, Georgia and Alabama.
Austin alone boasts five Chuy's spots, with others in nearby cities like New Braunfels, San Marcos and San Antonio. Most recently, the chain announced its plans to introduce a new location in Hutto, expected to open in 2025.
Over the past year, the company has earned more than $450 million in overall revenue.
Chuy's isn't the only Austin business to be taken over by larger corporations. This spring, Alamo Drafthouse Cinema temporary closed before being purchased by major film studio Sony.
As for the future of Chuy's, the transaction should be finalized during Darden's second fiscal quarter.