Bubba Gump signs letter for 12 Middle East franchisesBubba Gump signs letter for 12 Middle East franchises

SAN CLEMENTE Calif. Bubba Gump Shrimp Co. Restaurants Inc., operator and franchisor of Forrest Gump-themed dinnerhouses of the same name, has signed a letter of intent to grant franchise rights in the Middle East to Mubarak Al-Hassawi Restaurant Development Group.

The preliminary agreement calls for a formal commitment by Mubarak for the opening of 12 Bubba Gumps in the Persian Gulf area. The restaurant franchisor estimated that a franchise deal would generate $50 million to $60 million in additional systemwide revenue for the brand.

The company described Mubarak as a holding company with interests in real estate, manufacturing and hospitality. It apparently operates from a number of cities around the Gulf.

Bubba Gump currently operates or franchises 25 restaurants worldwide. The company recently retained a financial advisor to assist in raising equity capital for further growth. It has yet to disclose any results from that effort.