The owner of Fatburger and Johnny Rockets has another concept on its menu.
Fat Brands on Friday said it has completed its $300 million purchase of Twin Peaks, the 82-unit sports bar chain. The deal completes a summer that saw Fat Brands more than double in size with $740 million worth of acquisitions that brought the total number of concepts under its umbrella to 14.
Los Angeles-based Fat Brands earlier in the summer acquired the franchise brand operator Global Franchise Group, which owns Great American Cookies, Hot Dog on a Stick, Marble Slab Creamery, Pretzelmaker and Round Table Pizza. Earlier in the year it acquired the 325-unit Johnny Rockets for $25 million.
Four years ago, Fat Brands operated just two concepts, Fatburger and Buffalo’s Café and Express.
The acquisition of Twin Peaks, much like the Global Franchise deal, will be funded with debt. The acquisition will give Fat Brands $1.8 billion in total system sales from 2,100 locations, mostly franchised, and earnings before interest, taxes, depreciation and amortization, or EBITDA, of $25 million to $30 million.
CEO Andy Wiederhorn also does not sound like a guy who is stopping, either. “Fat Brands is committed to an aggressive growth strategy, which underlies our strong [merger and acquisition] activity over the last year,” he said in a statement.
“When assessing potential acquisitions, we look to identify brands that not only complement our existing portfolio but also deliver high average unit volumes and a strong growth pipeline. Twin Peaks checks all of these boxes. This is a brand that we can grow globally at a fast pace.”
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