Fat Brands announced Monday the intention to acquire the 23-unit, Phoenix, Ariz.-based Native Grill & Wings for $20 million from Wingtime, LLC, a subsidiary of Cybeck Capital Partners, LLC. The deal, which is expected to be finalized in mid-December, marks Fat Brands’ third wings concept (joining Buffalo’s Café & Express and Hurricane Grill & Wings), and its fourth acquisition in six months following the purchases of Global Franchise Group, Twin Peaks and Fazoli’s.
According to a press release, once the acquisition is finalized, Fat Brands will oversee 2,300 franchised and corporate-owned stores globally with a combined annual system sale of about $2.3 billion.
“With the chicken wing sector growing in popularity throughout the pandemic, we knew that we wanted to continue developing our portfolio further into this category by bringing in a brand that would complement our existing wing concepts,” Fat Brands CEO Andy Wiederhorn said in a statement. “Native Grill & Wings has been on our radar for some time given its ability to remain nimble and deliver strong system-wide sales growth over the past year.”
With the acquisition, Fat Brands intends to expand Native Grill & Wings into new markets, and already has new locations in development.
“The Native Grill & Wings system is poised for a breakout to the next level, and FAT Brands has the resources and experience that can take it there,” Joe O’Hara, Managing Partner of Cybeck Capital Partners, LLC said in a statement. “We are pleased to pass the baton to Fat Brands for the benefit of the system.”
For the deal, Fat Brands Foley & Lardner LLP acted as legal counsel. For Wing Time, LLC Taft Stettinius & Hollister LLP acted as legal counsel.
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