News: Freebirds World Burrito acquired by Sun Holdings
Alicia Kelso | Aug 19, 2024
The acquisition of 64 Freebirds locations adds to Sun Holdings’ existing portfolio of more than 1,500 restaurant and retail locations.
Sun Holdings, one of the nation’s largest franchise operators, has acquired Austin, Texas-based fast casual concept Freebirds World Burrito. Terms of the deal were not disclosed.
The acquisition includes 64 Freebirds locations across Texas, adding to Sun Holdings’ existing portfolio of more than 1,500 restaurant and retail locations.
"Freebirds brings a distinct and vibrant energy to our portfolio. The brand’s commitment to quality ingredients and a customer-centric approach resonates well with us as operators. We believe we can learn from Freebirds in customer engagement and menu innovation, while bringing our expertise in operations and growth." Sun Holdings’ chief executive officer Guillermo Perales said in a statement. "This acquisition is especially notable for Sun Holdings as it demonstrates our ability to grow not just as a franchisee, but as a brand owner. Freebirds is poised for growth, and we have an ambitious expansion strategy that we are excited to get to work on.”
Freebirds World Burrito was founded in 1987 in California and relocated to Austin in 2016. It is known for serving large burritos, salads, and bowls. According to Technomic Ignite data, the company finished 2023 with $119.7 million in sales, an 8.4% year-over-year increase, while there were 64 locations, a 3.2% bump from the prior year. The chain has also spent the past several years improving its restaurant-level margins.
Freebirds joins Sun Holdings' restaurant portfolio that also includes Applebee's, Arby's, Burger King, Golden Corral, IHOP, McAlister's, Popeye’s, and Taco Bueno. The transaction was facilitated with the expertise of Vin Batra from Soravine Advisors on the buyer's side, Susan Miller and Sean Mirzabegian of Morgan Kingston Advisors on the seller's side. The deal was led by Taylor Bennett, chief legal officer of Sun Holdings, and Marcelo Lopez, Director of FP&A, M&A of Sun Holdings.
Contact Alicia Kelso at Alicia.Kelso @informa.com