The Franchise Owner's most trusted news source

Log In / Register | May 24, 2018
News about company buy outs and mergers

Montreal’s Dagwoods Sandwiches and Salads Bought by MTY Food

Montreal-based MTY Food Group Inc. announced yesterday that it has finalized the acquisition of another Montreal-based firm, Dagwoods Sandwiches and Salads for C$3 million (US$2.4 million).

Dick's Wings & Grill Franchisees Become Company Shareholders

Dick's Wings, Jaguars StadiumDick’s Wings & Grill has a new incentive for franchisees: company ownership in the form of shares. All current franchisees were awarded shares of ARC Group Inc. (ARCK:OTCQB), Dick's Wings parent company, on the date the new program was implemented by the Jacksonville-based franchisor.

Sold! Bruegger’s Bagels to Caribou Coffee

Bruegger’s Bagels has signed an agreement to sell its brand to JAB Holding’s Caribou Coffee. Its parent company, Le Duff America, which owns Mimi’s Cafe and Broice Doree, announced today the sale of Bruegger's but it did not disclose the amount. The sale is expected to close by the end of September.

Ending of Wendy's Dispute with Franchisee Results in Net Loss for Quarter

Wendy’s recently ended its years-long altercation with DavCo Restaurants, a franchisee since 1976, by buying 140 of its units, terminating their relationship. The dispute stemmed from DavCo's refusal to remodel and adopt a new POS system, saying it couldn't afford to do the remodeling and that the POS system was inoperable.

New China Partnership Now McDonald’s Largest Franchisee

A new China-based partnership has nudged aside Arcos Dorados (Spanish for Golden Arches) as the largest McDonald's (NYSE:MCD) franchisee. The partnership, consisting of CITIC Limited, CITIC Capital Partners, and The Carlyle Group (NASDAQ:CG), successfully ran the gamut of China's regulatory requirements and the transaction was finalized on July 31.

Aaron's Acquires Largest Franchisee for $140 Million Cash

Aaron's, a lease-to-own chain with more than 1,860 company-operated and franchised stores in 47 states and Canada, bought substantially all of its largest franchisee, SEI/Aaron’s Inc., for around $140 million in cash. Aaron's president and CEO John Robinson III said in the company's earnings call on Friday that the SEI team will be transitioning over to Aaron's.

Private Equity Firm Takes Panera Bread Private

JAB, a private equity firm, has completed its acquisition of Panera Bread, taking the firm private. It was delisted on NASDAQ on Tuesday. Sam Covelli, CEO of Panera's largest franchisee, the 300-plus-unit Corelli Enterprises, indicated that he wasn't expecting any untoward changes.

Busy Week in Restaurant M&A

Interest by private equity and other companies in the acquisition of franchise restaurant brands are running at a brisk pace. Back Yard Burgers, Blaze Fast-Fire’d Pizza and Panera Bread were part of a busy buying streak just last week, along with non-franchise restaurant brands as well.

Must-Ask Questions before a Buyer Seals an M&A Deal

Most franchisees aren't looking to buy a franchisor, although it has been known to happen, but given the frequency of mergers and acquisitions in the franchising world, it's an aspect that could soon, if it hasn't already, affect them.

Tim Hortons Franchisees Get Bum's Rush at Annual Meeting

Tim Hortons franchisees who traveled to Tim Hortons' parent company Restaurant Brands International (RBI) annual shareholders meeting in Oakville, Ontario, Canada yesterday were in for a shock. CEO Daniel Schwartz, in an apparently highly unusual move at RBI or any other publicly held company, did an end run around them and ended the meeting without entertaining questions from anyone in the audience.