Fiesta Restaurant Group, Inc. (NasdaqGS:FRGI) agreed to spin-off Taco Cabana, Inc. on February 24, 2016. The shares of Taco Cabana, Inc. will be distributed to the shareholders of Fiesta Restaurant Group. As per the plan, Fiesta Restaurant Group will split into two separate companies, Taco Cabana and Pollo Tropical.

Fiesta Restaurant will rename itself to Pollo Tropical. Both the companies will have two fully independent management teams and corporate infrastructures. The separation plan, including transaction structure, timing, composition of senior management, capital structure, and other matters will all be subject to approval by Fiesta's Board of Directors, regulatory and other approvals.

The spin-off is expected to be completed in 2017 or 2018.