GEN Restaurant Group, the Los Angeles-born Korean BBQ chain, has agreed to sell its 47 restaurants nationwide to Chubby Group in a deal worth $100 million, the companies announced Wednesday.
Chubby Group, which runs the all-you-can-eat wagyu chains Chubby Cattle and Mikiya Wagyu Shabu House, will take over operations of the GEN locations over the next 12 months. The company plans to shift the menu toward a more wagyu-focused offering while keeping the core Korean BBQ format intact. The deal has not yet closed and still depends on regulatory approvals and lease transfers, with both sides aiming to finalize it within 30 days.
GEN currently operates 21 locations in California, where the brand was founded in 2011 by two Korean immigrants. The chain expanded into a nationwide operation but has decided to exit the restaurant business in favor of its packaged-food line, including ready-to-cook marinated meats already sold through Costco and Albertsons.
The company said the sale is expected to eliminate roughly $160 million in restaurant lease liabilities and help clear its outstanding debt. GEN will keep ownership of its brand name and retain three restaurants for staff training, hiring and product development purposes.
Chubby Group has built a sizable footprint in the Asian dining space, with more than 70 locations spanning over 25 brands, including Wagyu House, The X Pot and Niku X. Chubby Cattle and Mikiya Wagyu Shabu House each already run six locations in California.
Reaction from diners and former employees has been mixed but generally favorable toward the change. Brandon Lee, a former Korean BBQ server, told the California Post that Chubby Group offers a “more elegant and mature experience” compared with GEN.
“It is the right time for a necessary change,” said Yeshin Kim, a UCLA student and frequent Korean BBQ diner.
The transaction marks a major shift for a chain that grew from a single Los Angeles restaurant into a national brand, as ownership of its storefronts passes to one of the fastest-growing operators in the all-you-can-eat wagyu market.
