Deal Arms QK, Largest Denny's 'Zee, with Cash to Grow
QK Inc., the largest Denny’s franchisee worldwide, is armed with fresh cash after a recapitalization effort.
CEO Doug Koch said the transaction provides QK with “significant growth capital,” although he wouldn’t disclose the amount, and will use it to execute “an aggressive acquisition and new build strategy.”
“Our entire team is excited to partner with our new investors as we embark on an exciting phase of organic and acquisition-driven growth,” Koch said in a statement.
Greene Holcomb Fisher, the investment bank with offices in Minneapolis, Phoenix, Seattle and Atlanta, orchestrated the deal, which brought in Cave Creek Capital, Stewart Capital and Seacoast Capital.
Founded by two entrepreneurs, Koch and Robbie Qualls, with a single location in 1990, QK has grown to 85 restaurants employing 2,500 people across six states, and is the largest franchisee in the Denny’s system. QK, based in Holbrook, Arizona, also owns six Del Taco restaurants.