FAT Brands completes acquisition of Ponderosa, Bonanza parent company
Oct. 31, 2017
by MEAT+POULTRY Staff
A fast-casual version of the Ponderosa concept is part of the development plans.
LOS ANGELES – FAT (Fresh. Authentic. Tasty.) Brands Inc. has completed its acquisition of Homestyle Dining LLC, the parent company to the Ponderosa Steakhouse and Bonanza Steakhouse brands, for $10.5 million. The two steakhouse restaurant chains, which operate 120 locations, will join FAT Brand’s existing portfolio of brands, which includes Fatburger, Buffalo’s Café and Buffalo’s Express.
Following the acquisition, FAT Brands’ franchisees will operate more than 300 restaurants around the world with system-wide sales exceeding $300 million.
“Ponderosa and Bonanza both possess strong brand identities that appeal to a broad consumer-base, and align with FAT Brands’ commitment to providing guests with high-quality, made-to-order meals,” said Andy Wiederhorn, President and CEO of FAT Brands. “The completion of this acquisition will allow our management team to seamlessly extend Ponderosa and Bonanza into new segments and expand their footprints in existing markets through the Company’s extensive franchisee network.”
As part of the acquisition, FAT Brands plans to develop a fast-casual version of the Ponderosa concept. The company executed a similar strategy after its acquisition of Buffalo’s Café in 2011, creating the fast-casual spin-off of the chain, Buffalo’s Express, in 2012.