Darden to spin out Red Lobster amid shareholder pressure

Amid shareholder pressure and in an attempt to bolster its stock value, Darden Restaurants said Thursday it would jettison its Red Lobster chain, according to the New York Times.

“As consumer demand dynamics have changed, Red Lobster’s priorities and operating support requirements have come to differ meaningfully from those of Darden’s other brands,” Darden said. “As a separate company, Red Lobster will have greater freedom to pursue marketing and operating strategies that are more tailored to the needs of those consumers who fit its core guest profile.”

Darden said it also would consider selling Red Lobster, which has 705 restaurants in the U.S. and Canada and annual sales of $2.6 billion in fiscal 2013.

Read more from the New York Times.