Fatburger to buy Johnny Rockets
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Fatburger’s parent, Fat Brands, is to acquire the US restaurant chain Johnny Rockets. The acquisition, worth about US$25 million, is expected to be completed this September.
Founded in 1986, Johnny Rockets is known for its 1950s diner-style decor, serving hamburgers, sandwiches, hand-spun shakes and malts. The restaurant chain operates more than 325 locations across more than 25 countries.
“Similar to Fatburger, Johnny Rockets got its start in Los Angeles, and we couldn’t be more pleased to add another true staple in our home city to our portfolio,” said Andy Wiederhorn, president and CEO at Fat Brands. “This acquisition is a transformative event for Fat Brands in terms of scale and brand awareness. We see a lot of synergy with Johnny Rockets and our current restaurant concepts and we are eager to take the brand to new heights.”
The acquisition of Johnny Rockets will increase the number of Fat Brands’ franchised and company-owned restaurants to more than 700 with annual system-wide sales exceeding US$700 million, according to the company.
Fat Brands currently owns eight restaurant chains, including Fatburger, Buffalo’s Cafe, Hurricane Grill & Wings, Elevation Burger, and Bonanza Steakhouses, and franchises more than 375 units worldwide.
Questions & Answers
Q.What is the expected completion date for Fatburger's acquisition of Johnny Rockets?
What is the expected completion date for Fatburger's acquisition of Johnny Rockets?
The acquisition of Johnny Rockets by Fatburger's parent company, Fat Brands, is anticipated to be finalised in September of this year. This will see the US restaurant chain join the Fat Brands portfolio.
Q.What is the primary reason Fat Brands is acquiring Johnny Rockets?
What is the primary reason Fat Brands is acquiring Johnny Rockets?
Andy Wiederhorn, president and CEO of Fat Brands, stated that Johnny Rockets is a 'true staple' from their home city of Los Angeles. He also highlighted the potential for significant synergy and increased brand awareness.
Q.How will this acquisition change the overall size of Fat Brands' operations?
How will this acquisition change the overall size of Fat Brands' operations?
The acquisition will expand Fat Brands' total number of franchised and company-owned restaurants to over 700. Also, the company expects its annual system-wide sales to exceed US$700 million after the deal.
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