Investor urging Darden to split off Red Lobster, Olive Garden chains

Hedge fund Barington Capital Group LP is pushing for Olive Garden parent Darden Restaurants Inc (DRI.N) to split into two separate companies, the Wall Street Journal reported citing people familiar with the matter.

Citing known sources, the Wall Street Journal reports the investor group is pushing Darden Restaurants to create one company with its Olive Garden and Red Lobster restaurants and another with its higher-growth chains that include Capital Grille.

Barington has taken a 2.8 percent stake in Darden, the Journal said.

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