Famous Brands announces largest deal in its history
FAMOUS Brands’s latest acquisition — and the largest in its history — is UK chain Gourmet Burger Kitchen for £120m (about R2.1bn), the restaurant franchisor said on Thursday morning. The statement ended speculation on the reason for its cautionary announcement on August 12. The group has announced a string of deals since its former CEO Kevin Hedderwick switched roles to group strategic adviser responsible for merger and acquisition activity in March. Unlike Famous Brands’ other recent deals — a tomato paste factory in Coega, a chips factory in Lambert’s Bay and Fourways-based restaurant Salsa Mexican Grill — the UK transaction falls under the JSE’s category 2 classification requiring the value to be disclosed. Famous Brands is already active in the UK via Wimpy. It said Gourmet Burger Kitchen's 75 restaurants in the UK would "add scale ... and up-weight the group’s premium brand portfolio". "Famous Brands has identified the UK as a strategic growth region in Europe and one that offe...
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