Guzman y Gomez shares surge as much as 20% after fast-food chain says it will exit U.S. market

Key points

• The company reiterated that the decision to exit the U.S. business "does not alter the Board's conviction in the global appeal of the GYG brand, or in the long-term opportunity to expand into new geographies in a disciplined and deliberate manner.
• " He added that the current performance of the U.S. business could not justify continued investment of shareholder capital.
• "Having spent the last 3 months in the US, I realized this was going to take significantly more time and capital than we had expected, said Steven Marks, founder and co-CEO of the Australian food company.
• Shares of Guzman y Gomez rose as much as 20.58% on Friday, after the Mexican-themed fast-food chain said it would exit the U.S. market and refocus on Australia.
• The company, which will cease operating its restaurants in Chicago with immediate effect, also said that it will support its U.S. team through this transition "with...