Scooter’s Coffee to acquire Omaha’s Crane Coffee
Scooter’s Coffee intends to add Crane Coffee’ eight locations in Omaha, six free-standing and two located in hospitals, to its portfolio of more than 230 locations in 15 states and 200 franchise commitments.
“Scooter’s Coffee feels very fortunate to be able to possibly acquire Crane Coffee locations maintaining local ownership of this 28-year-old Omaha company,” says Mike Rogers, Chief Operating Officer at Scooter’s Coffee. “As Scooter’s Coffee continues to expand, we look for great opportunities to bring in brands that are the quality of Crane Coffee.”
Scooter’s Coffee says details of the transaction are still being finalised and will not be disclosed. After completion, the Crane Coffee locations will not immediately re-brand to Scooter’s Coffee. That process will transition over the next 90 days.
“The timing is right for Linda and I to sell Crane Coffee, and we want to be sure we sell the brand to the right people,” says Keith Graeve, owner of Crane Coffee. “Scooter’s Coffee is a great match, they’re in the same business and we share common core values and commitment to quality. Once the deal is completed, it will make for an easy transition for our employees.”
View source version at Scooter’s Coffee
Cracker Barrel Acquires Maple Street Biscuit Company
Award-Winning Fast Casual Concept Provides Cracker Barrel with Growth Vehicle
Oct 11, 2019, 14:00 ET
LEBANON, Tenn., Oct. 11, 2019 /PRNewswire/ — Cracker Barrel Old Country Store, Inc. (“Cracker Barrel” or the “Company”) (Nasdaq: CBRL) announced it has acquired Maple Street Biscuit Company in an all-cash transaction for $36 million. Maple Street Biscuit Company was founded by Scott Moore and Gus Evans in Jacksonville, FL in 2012. It currently has 28 company-owned and five franchised fast casual locations across seven states. Maple Street Biscuit Company has targeted AUVs of $1.0+ million and targeted store-level EBITDA of 17%+ of net sales. The Company plans to convert its Holler & Dash Biscuit House units into Maple Street Biscuit Company locations in the coming months. Scott Moore will remain CEO of Maple Street Biscuit Company and will report directly to Sandra B. Cochran, President and CEO of Cracker Barrel.
“The breakfast and lunch-focused fast casual category is an attractive segment, and our experience with Holler & Dash has reinforced this belief. We have long admired Maple Street Biscuit Company with its emphasis on made-from-scratch food and hospitality. It is a proven brand with attractive unit economics and strong growth potential, and it is positioned to become a leader in this category. The acquisition accelerates our penetration in this segment and provides growth for delivering shareholder value. I look forward to working with Scott and his team as we further grow this brand together,” said Sandy Cochran.
Maple Street Biscuit Company founder and CEO Scott Moore said, “From the beginning, Maple Street Biscuit Company has focused on serving its communities through comfort food with a modern twist and gracious service. Our brands share many similarities such as scratch cooking and an emphasis on hospitality. I’m excited about this opportunity, and I believe Cracker Barrel will help us grow our brand and further achieve our mission of helping people, serving others, and being a part of the community.”
The Company anticipates that the impact of the acquisition, excluding any acquisition and integration expenses, will be approximately neutral to earnings per diluted share in fiscal 2020.
About Cracker Barrel Old Country Store®
Cracker Barrel Old Country Store, Inc. (Nasdaq: CBRL) shares warm welcomes and friendly service while offering guests high-quality homestyle food and unique shopping — all at a fair price. By creating a world filled with hospitality and charm through an experience that combines dining and shopping, guests are cared for like family. Established in 1969 in Lebanon, Tenn., Cracker Barrel and its affiliates operate 660 company-owned Cracker Barrel Old Country Store® locations in 45 states and own the fast-casual Maple Street Biscuit Company and Holler and Dash® restaurants. For more information about the company, visit crackerbarrel.com.
View source version at Cracker Barrel
Domino’s Pizza Announces 2019 Q3 Financial Results
Global retail sales growth of 5.8%, or 7.5% excluding foreign currency impact
U.S. same store sales growth of 2.4%
International same store sales growth of 1.7%
Global net store growth of 214
Diluted EPS up 5.1% to $2.05
Company announces new two- to three-year outlook
Oct 08, 2019, 07:30 ET
ANN ARBOR, Mich., Oct. 8, 2019 /PRNewswire/ — Domino’s Pizza, Inc. (NYSE: DPZ), the largest pizza company in the world based on global retail sales, announced results for the third quarter, comprised of growth in global retail sales and earnings per share. Global retail sales increased 5.8% in the third quarter, or 7.5% without the negative impact of changes in foreign currency exchange rates. U.S. same store sales grew 2.4% during the quarter versus the prior year quarter, continuing the positive sales momentum in the Company’s U.S. business. The international division also posted positive results, with same store sales growth of 1.7% during the quarter. The third quarter marked the 103rd consecutive quarter of international same store sales growth and the 34th consecutive quarter of U.S. same store sales growth. The Company had third quarter global net store growth of 214 stores, comprised of 40 net new U.S. stores and 174 net new international stores.
Diluted EPS was $2.05 for the third quarter of 2019, up 5.1% over the prior year quarter, primarily resulting from higher income from operations, offset in part by a higher effective tax rate.
During the third quarter of 2019, the Company repurchased and retired 384,338 shares of its common stock under its Board of Directors-approved share repurchase program for approximately $93.7 million, or an average price of $243.79 per share. On October 4, 2019, the Company’s Board of Directors authorized a new share repurchase program to repurchase up to $1.0 billion of the Company’s common stock.
On October 4, 2019, the Company’s Board of Directors declared a $0.65 per share quarterly dividend for shareholders of record as of December 13, 2019 to be paid on December 27, 2019.
“It was a good quarter for Domino’s, as we continue to lean on our fundamental strength against a unique competitive environment,” said Ritch Allison, Domino’s Chief Executive Officer. “Strong unit growth and positive comps yielded a solid and balanced quarter of retail sales growth across both the U.S. and international businesses. We remain steadfastly focused on driving profitable growth for the Domino’s system, and most importantly, for our franchisees.”
View full version at Domino’s Pizza
The ONE Group Hospitality Completes Acquisition of Kona Grill
Expected to add approximately $100 million in annual revenue and to be immediately accretive to Consolidated Adjusted EBITDA
Increases 2019 financial targets to reflect acquisition
Preliminary 2020 Expectation of $23 million to $25 million in Consolidated Adjusted EBITDA
Schedules conference call and webcast for Third Quarter 2019 results on November 7, 2019
DENVER–(BUSINESS WIRE)–The ONE Group Hospitality, Inc. (Nasdaq: STKS) and Kona Grill Acquisition, LLC (“KGA”), its wholly owned subsidiary (collectively, “The ONE Group”), today announced KGA has completed the purchase of substantially all the assets of Kona Grill, Inc. and its affiliated entities (collectively, “Kona Grill”). Kona Grill is expected to add $100 million in annual revenue, and to be immediately accretive to Consolidated Adjusted EBITDA. The ONE Group also increased its 2019 financial targets to account for the acquisition.
“We are pleased to complete the acquisition of Kona Grill and welcome 2,000 new team members and associates to The ONE Group family. We have added an excellent brand to our restaurant portfolio, with 24 high performing domestic restaurants and one international franchised restaurant located in attractive markets. Over the next twelve months, we intend to integrate Kona Grill by leveraging our corporate infrastructure, our bar-business knowledge and unique VIBE dining program, to elevate the brand experience and drive improved top line performance to create long-term shareholder value,” said Emanuel “Manny” Hilario, President and CEO of The ONE Group.
“We currently anticipate Kona Grill contributing approximately $23 to $24 million in revenue and over $1 million in Adjusted EBITDA to our consolidated results in the fourth quarter of 2019. We expect Kona Grill to be immediately accretive to Consolidated Adjusted EBITDA, to add approximately $100 million in annualized food and beverage sales and to be accretive to earnings per diluted share once fully integrated. Most importantly, our preliminary 2020 expectation is to deliver significant growth by generating between $23 and $25 million in Consolidated Adjusted EBITDA,” concluded Mr. Hilario.
Updated 2019 Targets
We are updating the following targets for 2019 to account for the contribution from Kona Grill’s domestic restaurants and one international franchise for the balance of the fiscal year:
- Total GAAP revenues between $118 million and $120 million, up from $95 million and $97 million;
- Total food and beverage sales at all our owned and managed units of between $213 million to $223 million, up from $190 million and $200 million;
- Consolidated Adjusted EBITDA between $14 million and $14.5 million, up from $13 million, representing approximately 33% to 38% growth compared to our 2018 Consolidated Adjusted EBITDA;
- Total G&A excluding stock-based compensation and integration expenses of approximately $9 million, from $8 million;
We have not reconciled guidance for Consolidated Adjusted EBITDA to the corresponding GAAP financial measure because we do not provide guidance for the various reconciling items. We are unable to provide guidance for these reconciling items because we cannot determine their probable significance, as certain items are outside of our control and cannot be reasonably predicted since these items could vary significantly from period to period. Accordingly, reconciliations to the corresponding GAAP financial measure are not available without unreasonable effort.
View full version at The ONE Group
WKS Restaurant Group Buys 94 Denny’s, Becomes Largest Franchisee
OCTOBER 2, 2019
WKS Restaurant Group announced their recent acquisition of 94 Denny’s locations previously owned by QK Holdings, LLC, making WKS the largest franchisee in the Denny’s system with 127 locations across 10 states.
In addition to QK Holdings’ 94 Denny’s locations, WKS also purchased both support centers located in Arizona, and each of its 4,500 employees across its system are welcomed into the WKS family. Founded by Roland Spongberg in 1987, WKS Restaurant Group began with one El Pollo Loco location and 25 team members in Long Beach, Calif. Today, WKS employs over 10,000 people with 4,500 coming from the recent acquisition.
“We are excited to welcome our friends from QK into the WKS family. Denny’s is an iconic brand with a great heritage, and we are looking forward to building upon QK’s success,” said WKS Founder and Chief Executive Officer Roland Spongberg. “This is a great business and opportunity, and we are fortunate to be gaining so many great people with this merger, because it’s the people that make all the difference in creating a momentous experience in the restaurant industry.”
WKS attributes their rapid growth to hiring people who share their company values of integrity, loyalty, winning, service, and teamwork. The company is committed to making sure that employees are successful, empowered and impactful. Spongberg, who was recently named an EY Orange County Entrepreneur Of The Year, said “I’ve enjoyed watching the success of many, many team members who grow their careers and families through this business. I look forward to seeing even more with this acquisition.”
WKS is a family owned restaurant group headquartered in Cypress, California. WKS Restaurant Group is the largest franchisee of Denny’s, El Pollo Loco, and Krispy Kreme Doughnuts, as well as the largest Wendy’s franchisee in California. Corner Bakery Cafe and Blaze Pizza brands complete the WKS restaurant portfolio, which operates 287 restaurants across 16 states. WKS employs over 10,000 team members.
The Cheesecake Factory Completes Acquisitions of North Italia and Fox Restaurant Concepts
Reinforces leadership position in experiential dining
CALABASAS HILLS, Calif.–(BUSINESS WIRE)–The Cheesecake Factory Incorporated (NASDAQ: CAKE) today announced that it has closed the acquisitions of North Italia and Fox Restaurant Concepts (“FRC”), including Flower Child.
The transactions were completed for $308 million in consideration at closing, including $12 million earmarked for customary post-closing adjustments. An additional $45 million will be due ratably over the next four years, and the FRC transaction also includes an earn-out provision based on the financial performance of the FRC brands outside of North Italia and Flower Child. The Company previously invested $88 million in the North Italia and Flower Child concepts over the last three years in anticipation of their purchase.
North Italia turns a modern lens on Italian cooking in the upscale, casual-dining segment. All dishes are handmade from scratch daily. The concept currently has 21 locations in ten states and Washington D.C. North Italia’s operations will be located at The Cheesecake Factory Incorporated’s corporate headquarters in Calabasas Hills, California to help scale the concept nationally.
FRC was founded by Sam Fox, a 10-time James Beard Award semifinalist for Restaurateur of the Year, New York Times best-selling cookbook author and recently named one of the 50 most influential people in the restaurant industry by Nation’s Restaurant News for the fifth consecutive year. FRC currently operates 47 restaurants across 8 states and Washington D.C. Each restaurant is individually designed to provide guests with a one-of-a-kind dining experience that will leave a lasting impression. FRC will operate as an independent subsidiary and continue to be led by Fox from FRC’s headquarters in Phoenix, Arizona.
About The Cheesecake Factory Incorporated
The Cheesecake Factory Incorporated is a leader in experiential dining. We are culinary forward and relentlessly focused on hospitality. Delicious, memorable experiences created by passionate people – this defines who we are and where we are going. We currently own and operate 288 restaurants throughout the United States and Canada under brands including The Cheesecake Factory®, North Italia® and a collection within the Fox Restaurant Concepts subsidiary. Internationally, 23 The Cheesecake Factory® restaurants operate under licensing agreements. Our bakery division operates two facilities that produce quality cheesecakes and other baked products for our restaurants, international licensees and third-party bakery customers. In 2019, we were named to the FORTUNE Magazine “100 Best Companies to Work For®” list for the sixth consecutive year. To learn more, visit www.thecheesecakefactory.com, www.northitaliarestaurant.com and www.foxrc.com.
View source version at The Cheesecake Factory
Oct 01, 2019, 09:02 ET
DENVER, Oct. 1, 2019 /PRNewswire/ — MAD Greens and Snappy Salads, two leaders in the U.S. fast-casual salad market, today announced they have merged into Salad Collective. This positions both concepts as long-term segment leaders with greater administrative efficiencies and economies of scale, making both brands stronger competitors in the fast-casual salad space. Terms of the merger were not disclosed.
MAD Greens and Snappy Salads will continue to operate under their respective brand names as salad-centric concepts dedicated to fresh and flavor-filled offerings. While each will maintain their unique menu and brand identity, the concepts will collaborate on best operational practices, shared administrative services and creating a unified culture. Under the new name, Salad Collective, led by Darden Coors and John Montgomery, the combined team of skilled operators will continue to focus on hospitality, fresh ingredients, driving sales through multiple channels and creating opportunities to grow both salad brands.
Coors is CEO and Montgomery is President of Salad Collective, and both held those positions at MAD Greens immediately prior to the transaction. Chris Dahlander, CEO and founder of Snappy Salads, is stepping down from day-to-day operations, but will continue to provide brand voice recommendations and overall vision as he assumes a role on the Salad Collective Board of Directors.
“Both MAD Greens and Snappy Salads have a long history in fast-casual salads, offering their customers fresh, great-tasting healthy meals,” said Dahlander. “We are very excited to form this partnership and pool our collective resources to deliver greater value to our customers and our shareholders.”
“Each brand brings a talented leadership group, strong store performance and a focus on serving our customers through various channels. Working together, we will leverage best practices, technologies and expertise across both brands to be even stronger in our respective markets,” added Montgomery.
The MAD Greens brand includes 33 locations in Colorado, Arizona and Texas. Snappy Salads includes 14 locations in the Dallas/Fort Worth metro area. Each brand’s restaurants offer hand-crafted, customizable salads as well as savory wraps, soups and sides using the highest-quality, farm-fresh ingredients. MAD Greens is known for its signature salads named after “MAD” famous people and literary characters such as Edgar Allan Poe, in addition to grain bowls, wraps, soups and fresh juices. Snappy Salads is known for their signature Grilled Avocado Salad and delicious Piadina Wraps.
“We are thrilled with the opportunity to join forces with the Snappy Salads team.” said Coors. “We all share a passion for providing delicious, healthy, fresh and convenient food to as many people as we can reach. This makes each brand even better positioned to provide our customers with the freshest high-quality ingredients, amazing culinary experiences and excellent customer service.”
About MAD Greens
Founded in 2004, MAD Greens currently has 33 locations across Colorado, Arizona, and Texas, having built a loyal following for its health-forward and customizable menu. While best known for its chef-designed, made-to-order salads topped with premium, farm-fresh ingredients, guests also love and crave its warm grain bowls, fresh juices, wraps, soups and the more than 20 salad dressings made from scratch each day by MAD Greens’ certified “Dressing Mixologists.” For more information, please visit www.madgreens.com. MAD Greens can also be found on Facebook (Facebook.com/madgreens), Instagram (@madgreenseatbetter) and Twitter (@madgreens).
About Snappy Salads
Dallas-Ft. Worth’s most awarded salad-centric restaurant, Snappy Salads has become the standard for high-quality, made-to-order salads served quickly with the highest quality fresh-cut produce, grilled-to-order proteins and homemade dressings in an environmentally friendly manner. Established in 2006, Snappy Salads has grown to 14 locations throughout the Dallas/Fort Worth metroplex on the power of their life-changing and #1-selling Grilled Avocado Salad. Snappy Salads is committed to leaving this world healthier than the way they found it which was punctuated by their switch to 100 percent annually-renewable paper straws, to-go packaging, flatware and cups. Recognition of numerous “Best of” awards to being named “Restaurant Neighbor” by the Texas Restaurant Association and earning the first Green Business Certification from the City of Plano, Texas, confirms that Snappy Salads is a dedicated community leader. Learn more about Snappy Salads by visiting www.snappysalads.com – Discover satisfying.
View source version at Salad Collective
RAVE Restaurant Group, Inc. Reports Fourth Quarter and Fiscal Year 2019 Financial Results
Sep 30, 2019, 08:00 ET
DALLAS, Sept. 30, 2019 /PRNewswire/ — RAVE Restaurant Group, Inc. (NASDAQ: RAVE) today reported financial results for the fourth quarter and fiscal year ended June 30, 2019.
Fourth Quarter Highlights:
- Total revenue increased to $3.1 million for the fourth quarter of fiscal 2019 compared to $2.8 million for the same period of the prior year.
- RAVE total comparable store domestic retail sales decreased 0.7% in the fourth quarter of fiscal 2019 compared to the same period of the prior year.
- Pizza Inn domestic comparable store retail sales increased 2.2% in the fourth quarter of fiscal 2019 compared to the same period of the prior year, while total Pizza Inn domestic retail sales increased 0.8%.
- Pie Five comparable store retail sales decreased 7.3% in the fourth quarter of fiscal 2019 compared to the same period of the prior year, while total system-wide Pie Five retail sales decreased 22.1% primarily due to a decrease in average units open during the quarter.
- The Company recorded a net loss of $0.8 million for the fourth quarter of fiscal 2019 compared to net income of $3.3 million for the same period of the prior year.
- The Company maintained its valuation allowance against net deferred tax assets in the fourth quarter of fiscal 2019 compared to a partial reversal in the same period of the prior year that resulted in a $3.4 million tax benefit.
- On a fully diluted basis, the Company had a net loss of $0.05 per share for the fourth quarter of fiscal 2019 compared to net income of $0.21 per share for the same period of the prior year.
- Adjusted EBITDA of a $0.3 million loss for the fourth quarter of fiscal 2019 decreased $0.6 million from the same period of the prior year.
- Cash and cash equivalents increased to $2.3 million as of the end of the fourth quarter of fiscal 2019, a $0.3 million increase during the quarter.
- Pizza Inn domestic unit count including PIE finished at 155.
- Pizza Inn international unit count finished at 48.
- Pie Five domestic unit count finished at 58.
- RAVE fiscal 2019 total comparable store retail sales increased 0.5% compared to fiscal 2018.
- Pizza Inn fiscal 2019 domestic comparable store retail sales increased 2.6% from the prior year, while total domestic retail sales increased 1.8%.
- Pie Five fiscal 2019 comparable store retail sales decreased 4.4% from the prior year, while total system-wide retail sales decreased 14.6%.
- Total consolidated revenue decreased 18.5% in fiscal 2019 to $12.3 million.
- Net income decreased by $2.7 million to a net loss of $0.8 million for fiscal 2019 compared to net income of $1.9 million in the prior year.
- The Company maintained its valuation allowance against net deferred tax assets in fiscal 2019 compared to a partial reversal in the prior year that resulted in a $3.4 million tax benefit.
- On a fully diluted basis, the Company reported a net loss of $0.05 per share in fiscal 2019 compared to net income of $0.13 per share in the prior year.
- Adjusted EBITDA of $1.2 million for fiscal 2019 was a $0.6 million increase from the prior year.
- Domestic Pizza Inn units increased by two during the year bringing domestic total units open at the end of the 2019 fiscal year to 155.
- International Pizza Inn units decreased by ten during the year bringing the international total units open at the end of the 2019 fiscal year to 48.
- Pie Five units open at the end of the 2019 fiscal year was 58.
- Fiscal years 2019 and 2018 included 52 weeks and 53 weeks, respectively. In order to reflect comparable 53 week periods, the Company has included the first week of fiscal 2019 in both annual periods in the presentation of total retail sales and comparable store retail sales.
The Company’s net loss of $0.8 million in the fourth quarter of fiscal 2019, or $0.05 per diluted share, was a decrease of $4.2 million, or $0.26 per diluted share, compared to the same period of the prior year. The decrease in net income in the fourth quarter of fiscal 2019 over the prior year was largely due to increases in impairments of long-lived assets and other lease charges of $1.1 million and decreased tax benefit of $3.0 million compared to the same period of the prior year.
View full version at RAVE Restaurants
Landry’s Signs Agreement With L Catterton To Acquire Del Frisco’s Double Eagle Steakhouses And Del Frisco’s Grilles
Sep 25, 2019, 08:45 ET
HOUSTON, Sept. 25, 2019 /PRNewswire/ — Tilman J. Fertitta announced today that Landry’s, Inc. has signed a definitive agreement to acquire 100% of the Del Frisco’s Double Eagle Steakhouses and the Del Frisco’s Grilles from L Catterton, the largest and most global consumer-focused private equity firm, for an undisclosed price. L Catterton previously announced on June 24, 2019 the signing of a definitive agreement to acquire the publicly traded Del Frisco’s Restaurant Group, Inc. (NASDAQ:DFRG) in an all cash transaction valued at approximately $650 million, and closed its acquisition of the public company today. The sale to Landry’s is expected to close at the end of October and does not include the ownership of the bartaco and Barcelona Wine Bar brands, which will be retained by L Catterton.
Fertitta stated, “We have been following Del Frisco’s for many years and tried once previously to acquire the Company in 2012 before it went public. It is a storied high end steakhouse brand with roots set in Texas and iconic locations throughout the country. The Del Frisco’s Double Eagle located in midtown Manhattan is one of the highest grossing volume restaurants in the country and a New York City staple, while its sister brand, the Del Frisco’s Grille delights its customers at Rockefeller Center. The Boston Seaport Del Frisco’s Double Eagle is a Boston mainstay and is one of Boston’s most successful restaurants. The City of Brotherly Love also sports a tremendously popular Del Frisco’s Double Eagle in historic downtown Philadelphia. Not to be outdone, the Lone Star State is home to four Del Frisco’s Double Eagles, including both Dallas and Houston. Both the Double Eagle and the Grille are known for their high energy atmosphere, quality food and expansive wine selections. Del Frisco’s is a perfect complement to our existing high end steakhouse portfolio, which includes such notable concepts as Mastro’s, Morton’s, Vic and Anthony’s, Strip House and Brenner’s.”
Del Frisco’s is a leading operator in the high end steak dining segment with over 35 restaurants in over 13 states in the U.S. According to Mr. Fertitta, “We couldn’t be happier with the acquisition and are planning no changes to the operations.”
Jefferies LLC acted as lead financial advisor to Landry’s with Deutsche Bank Securities Inc. and North Point Advisors LLC also co-advising.
ABOUT LANDRY’S, INC.
Landry’s, Inc., wholly owned by Tilman J. Fertitta, is a multinational, diversified restaurant, hospitality, gaming and entertainment company based in Houston, Texas. The company operates more than 500 high-end and casual dining establishments around the world, including well-known concepts such as Mastro’s Restaurants, Morton’s The Steakhouse, a group of signature high end restaurants, including Vic & Anthony’s, Strip House, The Oceanaire, Chart House, Willie G’s McCormick & Schmick’s and Brenner’s Steak House, plus casual dining brands including Landry’s Seafood, Bubba Gump Shrimp Co., Rainforest Cafe, Mitchell’s Fish Market Restaurants, and Saltgrass Steak House, along with popular New York BR Guest Restaurants such as Dos Caminos and Bill’s Bar & Burger. Landry’s gaming division includes the renowned Golden Nugget Hotel and Casino concept, with locations in Las Vegas and Laughlin, Nev.; Atlantic City, N.J.; Biloxi, Miss.; and Lake Charles, La. Landry’s entertainment and hospitality divisions encompass popular destinations including the Galveston Island Historic Pleasure Pier, Kemah Boardwalk, Aquarium Restaurants and other exciting attractions, coupled with deluxe accommodations throughout the Houston and Galveston area, including the luxurious San Luis Resort, Spa & Conference Center on Galveston Island and the Post Oak Hotel in Houston, Texas.
View source version at Landry’s
L Catterton Completes Acquisition of Del Frisco’s Restaurant Group, Inc.
bartaco and Barcelona Wine Bar Restaurant Brands to Be Run as Separate Businesses Owned by L Catterton
L Catterton Enters Into Definitive Agreement to Sell Del Frisco’s Double Eagle Steakhouse and Del Frisco’s Grille to Landry’s, Inc.
Sep 25, 2019, 08:45 ET
IRVING, Texas and GREENWICH, Conn., Sept. 25, 2019 /PRNewswire/ — Del Frisco’s Restaurant Group, Inc. (the “Company” or “Del Frisco’s“) and L Catterton, the largest and most global consumer-focused private equity firm, today announced the completion of the transaction under which L Catterton has acquired all of the outstanding shares of Del Frisco’s for approximately $650 million. As a result of the transaction’s close, Del Frisco’s stock will cease trading on the NASDAQ Global Select Market.
In conjunction with closing, L Catterton has entered into a definitive agreement to sell Del Frisco’s Double Eagle Steakhouse and Del Frisco’s Grille assets to Landry’s, Inc. (“Landry’s”) for an undisclosed consideration. The transaction is subject to customary approvals and closing conditions. The remaining restaurant brands – bartaco and Barcelona Wine Bar – will operate as two separate businesses with distinct strategies and leadership teams under L Catterton’s ownership.
“We are confident that the separation of the business and the sale of the steak concepts to Landry’s creates the best opportunity to unlock value in all of the Company’s restaurant brands,” said Andrew Taub, Managing Partner at L Catterton. “With more than 500 restaurants across the world, including a number of successful steak restaurants, Landry’s leadership in hospitality and dining is widely established, making them an ideal owner of Del Frisco’s steak business.”
Mr. Taub added, “We look forward to leveraging L Catterton’s deep restaurant experience and operational capabilities to help bartaco and Barcelona Wine Bar reach their full potential. We are confident that running as separate businesses, these highly experiential and unique restaurant concepts will be best positioned for growth and expansion.”
bartaco combines fresh, upscale street food with a coastal vibe in a relaxed environment. With 22 restaurants in Colorado, Connecticut, Florida, Georgia, Illinois, Massachusetts, New York, North Carolina, Pennsylvania, Tennessee, Texas, Virginia, and Wisconsin, bartaco is recognized as a local neighborhood favorite for outdoor dining, date night, and the best tacos and margaritas by both national and regional outlets.
Barcelona Wine Bar
Barcelona Wine Bar is a warm and welcoming tapas bar inspired by the culture of Spain. Today, Barcelona Wine Bar has 17 locations in Colorado, Massachusetts, North Carolina, Tennessee, Pennsylvania, Virginia, and Washington, D.C., each with its own vibrant energy. The ever-changing menu focuses on clean flavors, seasonal ingredients, and specialties from Spain and the Mediterranean, paired with an award-winning selection of wines from Spain and South America.
Del Frisco’s Double Eagle Steakhouse and Del Frisco’s Grille
For more than 37 years, the Del Frisco’s steak concepts have been committed to providing an experience like no other with chef-driven cuisine and exceptional hospitality. Landry’s, which operates more than 500 high-end and casual dining establishments around the world, including well-known steak concepts Morton’s The Steakhouse, Mastro’s Restaurants and Strip House, is well-positioned to own the Del Frisco’s Double Eagle Steakhouse and Del Frisco’s Grille restaurants and maintain their leadership position in the industry.
L Catterton was advised by Credit Suisse, Gibson, Dunn & Crutcher LLP, and PricewaterhouseCoopers.
About Del Frisco’s Restaurant Group, Inc.
Based in Irving, Texas, Del Frisco’s Restaurant Group, Inc. is a collection of 78 restaurants across 17 states and Washington, D.C., including Del Frisco’s Double Eagle Steakhouse, Del Frisco’s Grille, Barcelona Wine Bar, and bartaco.
Del Frisco’s Double Eagle Steakhouse creates an environment where our guests can celebrate life through cuisine that is bold and innovative, award-winning wine lists, hand crafted specialty cocktails, and superior hospitality with each dining occasion. Del Frisco’s Grille is modern, inviting, stylish, and fun, taking the classic bar and grill to new heights, and drawing inspiration from bold flavors and market-fresh ingredients. Barcelona serves tapas, both simple and elegant, using the best seasonal picks from local markets and unusual specialties from Spain and the Mediterranean, and offers an extensive selection of wines from Spain and South America featuring over 40 wines by the glass. bartaco combines fresh, upscale street food and award-winning cocktails made with artisanal spirits and freshly-squeezed juices with a coastal vibe in a relaxed environment.
For further information about our restaurants, to make reservations, or to purchase gift cards, please visit: www.DelFriscos.com, www.DelFriscosGrille.com, www.BarcelonaWineBar.com, and www.bartaco.com. For more information about Del Frisco’s Restaurant Group, Inc., please visit www.DFRG.com.
About L Catterton
With over $15 billion of equity capital across seven fund strategies in 17 offices globally, L Catterton is the largest consumer-focused private equity firm in the world. L Catterton’s team of more than 150 investment and operating professionals partners with management teams around the world to implement strategic plans to foster growth, leveraging deep category insight, operational excellence, and a broad thought partnership network. Since 1989, the firm has made over 200 investments in leading consumer brands. L Catterton was formed through the partnership of Catterton, LVMH, and Groupe Arnault. For more information about L Catterton, please visit www.lcatterton.com.
View source version at L Catterton
Inspire Brands to Acquire Jimmy John’s
ATLANTA & CHAMPAIGN, Ill.–(BUSINESS WIRE)–Inspire Brands (“Inspire”) today announced that it has entered into an agreement to acquire Jimmy John’s Sandwiches (“Jimmy John’s”). The agreement was unanimously approved by the Jimmy John’s Board of Directors, including Founder and Chairman Jimmy John Liautaud. The financial terms of the transaction were not disclosed.
Inspire is a multi-brand restaurant company whose portfolio includes more than 8,300 Arby’s, Buffalo Wild Wings, SONIC Drive-In and Rusty Taco locations worldwide. Following the completion of the transaction, Inspire will be the fourth-largest restaurant company in the United States with more than $14 billion in annual system sales and more than 11,200 restaurants across 16 countries.
“Jimmy John’s has found the ideal home at Inspire,” Liautaud said. “Inspire’s long-term approach, culture of innovation and commitment to helping brands grow sets it apart from the rest. I couldn’t be prouder of the company we’ve built, and I can’t wait to see what Jimmy John’s is able to accomplish under Inspire’s leadership.”
“Jimmy John’s is a great fit for the Inspire family,” said Paul Brown, Co-Founder and Chief Executive Officer of Inspire Brands. “What started in 1983 as a sandwich shop in a converted garage in Charleston, Illinois, has grown into a national, differentiated brand with a passionate fanbase. We are excited to welcome the Jimmy John’s brand to Inspire and look forward to working with their team and franchisees to help the company achieve its next stage of growth.”
At the close of the transaction, which is expected by the end of October, James North will serve as President of the Jimmy John’s brand, reporting to Paul Brown, and Jimmy John Liautaud will step down as Chairman and transition to an advisor to the brand.
About Inspire Brands
Inspire Brands is a multi-brand restaurant company whose current portfolio includes more than 8,300 Arby’s, Buffalo Wild Wings, SONIC Drive-In and Rusty Taco locations worldwide. The company was founded in 2018 and is headquartered in Atlanta, Georgia. For more information, visit InspireBrands.com
About Jimmy John’s
Jimmy John’s has been creating fast and fresh sandwiches since opening its first restaurant in 1983 and continues to do so in more than 2,800 locations across 43 states. For more information, visit JimmyJohns.com
Roark focuses on investing in franchised and multi-unit businesses in the consumer and business services sectors. Since inception, affiliates of Roark have invested in 73 franchise/multi-unit brands, which collectively generate $37 billion in annual system revenues from 36,000 locations in 50 states and 81 countries.
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LOS ANGELES–(BUSINESS WIRE)–sweetgreen today announced the closing of a $150 million financing round, co-led by Lone Pine Capital and D1 Capital Partners with participation from existing investors, valuing the company at $1.6 billion.
Since launching in 2007, sweetgreen has been disrupting the $800 billion US restaurant industry by rethinking the customer experience and challenging traditional ways of what it means to be a fast food company.
“We’re building a new type of food company and a sustainable supply chain to challenge how we think about real food, explore innovative new retail formats, and elevate the consumer experience,” said Jonathan Neman, co-founder and CEO of sweetgreen. “This foundation will allow us to push boundaries and broaden our impact, doing even more with our suppliers, partners, and technology so that together we can bring about industry-wide change.”
The capital enables sweetgreen to make strategic investments in technology, data, supply chain, and social impact. With over 50% of sweetgreen orders taking place through digital channels, mobile dining has swiftly become the next phase for the future of food. To meet the expectations of its evolving customer base, sweetgreen will test and deploy emerging technologies and new models, including:
- Rapid growth of Outpost: sweetgreen plans to enhance and expand Outpost, a solution for free delivery at offices. What started a year ago as only 13 Outpost locations has grown to over 400 with an expected 600 locations by end of this year.
- Expansion into new cities: In 2020 sweetgreen is continuing to expand into new cities including: Miami, FL, Denver, CO and Austin, TX. sweetgreen’s omni-channel strategy of leveraging digital ordering and Outpost combined with physical stores has become a unique way to introduce new customers to the brand.
- Launch of sweetgreen delivery: sweetgreen will launch delivery on its own app in 2020 creating another channel to meet customers wherever they are.
- Investment in social impact: sweetgreen intends to continue to support FoodCorps’ work in schools and cafeterias, where their hands-on learning gets kids to eat 3x more fruits and veggies. sweetgreen provided $1M in funding to support the next phase of FoodCorps’ work in cafeterias, while working together to address systemic challenges to serving healthy, high-quality food in schools.
To learn more about sweetgreen, visit www.sweetgreen.com. Follow sweetgreen on Instagram, Facebook and Twitter @sweetgreen.
J.P. Morgan acted as sole placement agent for sweetgreen on the offering.
About sweetgreen: Founded in 2007, sweetgreen passionately believes that real food should be convenient and accessible to everyone. Every day, across its 97 restaurants, over 4,000 team members make food from scratch, using fresh ingredients and produce delivered that morning. sweetgreen’s strong food ethos and investment in local communities have enabled them to grow into a national brand with a mission to build healthier communities by connecting people to real food.
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Cracker Barrel Reports Strong Q4 And Full Year Fiscal 2019 Results
Comparable store restaurant sales growth and traffic outperform the casual dining industry
Earnings exceeded expectations
Sep 17, 2019, 08:30 ET
LEBANON, Tenn., Sept. 17, 2019 /PRNewswire/ — Cracker Barrel Old Country Store, Inc. (“Cracker Barrel” or the “Company”) (Nasdaq: CBRL) today reported its financial results for the fourth quarter of fiscal 2019 ended August 2, 2019.
Fourth Quarter Fiscal 2019 Highlights
- Comparable store restaurant sales growth of 3.8% and traffic growth of 0.2% outperformed the casual dining industry.
- Earnings per diluted share were $2.70 compared to prior year fourth quarter GAAP earnings per diluted share of $2.55, or $2.19 per share when adjusting for the impact of the prior year 53rd week.
- As previously announced, the Company entered into a strategic relationship with Punch Bowl Social (“PBS”) on July 18, 2019 by acquiring a non-controlling ownership stake in PBS.
Full Year Fiscal 2019 Highlights
- For the full fiscal year, comparable store restaurant sales growth of 2.6% and traffic of -0.7% outperformed the casual dining industry.
- Fiscal 2019 earnings per diluted share were $9.27 compared to prior year GAAP earnings per diluted share of $10.29 (including a $1.06 per share benefit in Q2 2018 resulting from a one-time non-cash revaluation of the Company’s deferred tax liability in conjunction with the Tax Cut and Jobs Act of 2017) and adjusted earnings per diluted share of $8.87 (see non-GAAP reconciliation below).
- During fiscal 2019, the Company declared regular quarterly dividends totaling $5.05 per share. Additionally, the Company declared a special dividend of $3.00 per share, bringing the total declared dividends in fiscal 2019 to $8.05 per share.
Commenting on the fourth quarter and full year results, Cracker Barrel President and Chief Executive Officer Sandra B. Cochran said, “In fiscal 2019, our teams drove performance through an increased focus on our menu, the guest experience, and the continued expansion of our off-premise business. We ended the fiscal year with a strong quarter, delivering comparable store restaurant sales and traffic growth in the fourth quarter that outperformed the casual dining industry, and I was especially pleased with the results of our Signature Fried Chicken initiative. As we enter our 50th year of Pleasing People, we believe our fiscal 2020 business plans will help build on our momentum and support long-term value creation.”
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