K-9, Orangetheory Deals and More Setting Fast Pace
Fuzzy's Taco Shop, shown above, is the second acquisition by NRD Capital of Atlanta.
It’s only March, and some notable mergers and acquisitions are already piling up in the franchise space. Here are four catching our attention:
K-9 Resorts Daycare & Luxury Hotel of Fanwood, New Jersey, attracted a minority investment from Navigator Partners, a private equity firm located in the same hometown of the two brothers that founded the brand, Steven and Jason Parker. Steve Parker calls K-9 the “Ritz-Carlton for dogs,” and plans to keep the high-end quality of the franchise as they begin national expansion. There are eight K-9 Resorts in two states now.
NRD Capital is set to receive a Franchise Times Dealmakers award later this month for the first acquisition for the multi-unit franchisee-managed fund in Atlanta. That’s for its purchase of Frisch’s Restaurants, which operates under the Big Boy brand. CEO Aziz Hashim now has closed its second purchase, completing an equity investment in Fuzzy’s Taco Shop. Founded in 2001 in Fort Worth, Texas, the original Fuzzy’s Taco Shop was purchased by Alan and Chuck Bush after two years of operation. Chuck Bush remains Fuzzy’s president.
Orangetheory Fitness landed Roark Capital, the Atlanta private equity firm, as an investor in February. Dave Long, co-founder and CEO of the fitness franchise, will remain at the helm along with others on the management team. Orangetheory, of Fort Lauderdale, Florida, is Roark’s second fitness franchise; Roark made a minority investment in Anytime Fitness in 2014.
Also in the gym space, Excel Fitness Holdings was acquired by Altamont Capital Partners and advised by investment banker The McLean Group. Excel Fitness is the largest Planet Fitness franchisee in Texas, operating 18 gyms in Dallas and Austin. The transaction is one of the largest investments within the Planet Fitness system, and marks increasing interest in the publicly held brand by private equity investors.