The actor's wife, Camille Donatacci, filed for divorce in a Los Angeles court Thursday, citing irreconcilable differences. According to the filing, Donatacci is seeking primary physical custody of their daughter Mason, 8, and son Jude, 5, as well as spousal support.
Grammer, 55, is currently appearing on Broadway in La Cage Aux Folles, and was recently nominated for a Tony Award. Donatacci, 41, a former Playboy model, is rumored to be starring on Bravo's upcoming Real Housewives of Beverly Hills.
"Kelsey and Camille value privacy," the actor's rep said in a statement. "They understand that private lives sometimes get played out in public but ask on this occasion that their privacy – and the privacy of their children – be respected."
The couple have been married since August 1997. Their two children were both born via a surrogate.
Grammer also has two other children. His first wife, Doreen Alderman, was a dance instructor, and is the mother of his daughter Spencer, 26. The actor was married a second time, in 1992, to Leigh-Anne Cushany, a former exotic dancer. During that marriage, Grammer had his daughter, Greer, 18, with hairdresser Barrie Bucker.
Thursday night, after his performance in the Tony-winning revival of the musical La Cage aux Folles, Grammer met with fans and signed autographs, appreciatively accepting their compliments outside the Longacre Theatre stage door.
TMZ first reported news of the divorce filing.
Reporting by ELIZABETH LEONARD and SHRUTI DHALWALA