By Dr. Bharat Sangani, Dale Doerhoff and Nili Jaisinghani, Encore Restaurants
- What is fast casual?
- What are the top fast casual brands and why?
- Why has fast casual become an attractive opportunity for institutional investors, including private equity firms?
- Why location selection and investment strategy is crucial to growing fast casual wealth.
- How operational expertise and first-hand industry knowledge creates a competitive advantage.
Dr. Bharat Sangani
Co-Founder & Chairman
Encore Five Guys Burgers & Fries
Encore FGBF takes advantage of Encore’s proven track record of acquiring and developing Five Guys Burgers and Fries fast casual restaurants. The Fund focuses on strategic growth and will comprise 113 restaurants in five territories throughout the US, with development rights for an additional 100 stores.
- The Fund focuses on strategic growth and seeks to:
- Diversify existing portfolio and stabilize cash flows by growing Encore FGBF portfolio
- Build Encore’s restaurant portfolio to a critical mass of 200 stores and/or an EBITDA of at least $20 million. At this target size, potential exit strategies include a sale to a larger private equity company interested in consistent operational cash flow, or an initial public offering.
- Equity raised will be used to recapitalize the existing investor base and acquire the Texas portfolio with associated development rights
- Encore anticipates a 6-year hold, allowing for completion of majority of development across all territories