The private-equity firm that saved Arby's is making a $2.9 billion bet that it can do the same for Buffalo Wild Wings

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• Arby's parent company has agreed to acquire Buffalo Wild Wings for $2.9 billion.
• When Roark Capital acquired Arby's in 2011, the chain was losing millions of dollars a year.
• Under CEO Paul Brown, Arby's has become one of the most successful chain restaurants in the industry.
• Brown's new task is to manage a similar turn around at the struggling Buffalo Wild Wings.

Arby's has achieved a breathtaking comeback in recent years. Now, the CEO's next mission is saving Buffalo Wild Wings.

On Tuesday, Arby's and Cinnabon's parent company Roark Capital announced that it had agreed to buy Buffalo Wild Wings for about $2.9 billion.

Gerald Angeles/Flickr

According to the companies, Buffalo Wild Wings will operate as a privately held subsidiary of Arby's Restaurant Group. Arby's CEO, Paul Brown, will serve as the CEO of both brand's parent company.

The news comes after a challenging period for the chicken chain. Buffalo Wild Wings is one of many casual dining chains that have struggled to attract diners as millennial tastes have evolved away from sit-down restaurants.

In August 2016, activist investor Marcato published an open letter accusing Buffalo Wild Wings' management of mismanaging the company. Marcato and Buffalo Wild Wings publicly sparred for the next year, as the chain's sales continued to slump. Finally, in June, CEO Sally Smith announced she was leaving the company after Marcato gained control of the company's board.

Roark is acquiring a company deeply in need of a comeback. Fortunately, the private-equity firm has a blueprint for success: Arby's.

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In 2011, Arby's was struggling to stay afloat, posting a $350 million loss the prior year. The brand - known primarily for its roast beef sandwiches - had simply lost its relevance and was scrambling to attract customers.

In July, Wendy's/Arby's group split Arby's off and sold a majority stake to Roark.

Under Roark's ownership, Arby's first moves were to attempt a basic reset of the brand. The chain closed under-performing stores and began developing new menu items.

Then, in 2013, the chain's turnaround cranked into high gear. The chain hired a wave of new executives, including CEO Paul Brown, an outsider with minimal restaurant experience. Under Brown, Arby's pioneered a new strategy - to take risks to make Arby's stand out and grab headlines, instead of following the familiar fast-food playbook.

"We had to one, come up with a way of talking about ourselves in a voice that actually stood out, but we also had to be more creative about all the channels that you could use to get the message out," Brown told Business Insider in July.

Hollis Johnson

An Arby's location with the revamped design

Arby's debuted the stark "we have the meats" campaign. When a tweet comparing Pharrell's hat to Arby's logo went viral, the social media manager was given more freedom. New menu items became less traditional and more over-the-top, with offerings like the venison sandwich. After interviewing employees, Arby's began redesigning kitchens as part of an aggressive remodeling effort.

The changes worked. In 2016, the chain reached $3.7 billion in sales, with an average of $1.1 million in sales-per-store in the US - up 20% from 2013. Arby's has achieved six years of consecutive, quarterly sales growth.

Now, the sandwich chain is coming for Buffalo Wild Wings.

"Buffalo Wild Wings is one of the most distinctive and successful entertainment and casual dining restaurant companies in America," Brown said in a statement on Tuesday.

"We are excited to welcome a brand with such a rich heritage, led by an exceptionally talented team," Brown continued. "We look forward to leveraging the combined strengths of both organizations into a truly differentiated and transformative multi-brand restaurant company."