IHOP is trying to free up capital to bring down the amount of corporate debt that they have. There plan is to sell or refranchise all of the Applebees restaurants that they have.
IHOP owns more that 510 corporate Applebees which they have managed to sell off 41 of them so far. They plan to have the rest of them sold or refranchised by the end of the year.
The avg. Applebees is being sold for around $1.86 million so if they manage to sell the rest of them off they’re looking to pocket about $867 million!