Jollibee Foods: acquires 40 percent of Smashburger

Denver (CO) / Manila (PH). (sh) Smashburger IP Holder LLC, the Denver-based Fast Casual restaurant concept, announced that it has entered into a definitive agreement to sell 40 percent of the company to Jollibee Foods Corporation, Asia’s largest restaurant company. The purchase price values Smashburger at a 335 million USD enterprise value.

Launched in 2007, Smashburger has over 335 corporate and franchised restaurants operating in 35 states and seven countries. Approximately 60 percent of Smashburger is company owned and operated. Smashburger continues to grow at a rate of 20 percent annually.

Jollibee Foods Corporation, a publicly-traded market leader in the Philippines, has been actively seeking an investment in a leading U.S. growth brand. Jollibee Foods Corporation currently operates and franchises a network of over 3’000 restaurants worldwide under the trade names «Jollibee», «Chowking», «Greenwich», «Red Ribbon», «Yonghe King», «Hong Zhuang Yuan», «Mang Inasal», «Burger King Philippines», «San Pin Wang», «Jinja Bar». Jollibee also has a 50 percent interest in the Super Foods Group, which operates and franchises restaurants under the «Pho 24» and «Highlands Coffee» brands throughout Vietnam.

«We at Smashburger are excited about our new strategic partnership with Jollibee», commented Rick Schaden, Chairman and Co-Founder of Smashburger. «As founders and entrepreneurs we both have built teams that focus on bringing the highest quality and best tasting food to our restaurant categories. Founder and Chairman, Tony Tan Caktiong and I share a true passion for the restaurant business having opened and operated our very first restaurants, we believe our companies still cultivate that spirit today as we initiate this partnership».

JFC Chairman Tony Tan Caktiong gave the following statement: «Smashburger is one of the fastest growing restaurant brands in the US and we are very excited to work side by side with the owners and management of Smashburger as we continue its growth. This acquisition will make JFC’s presence in the US more significant, going beyond the Filipino market and serving mainstream consumers in the 100 billion USD United States burger market, a food segment which is estimated to be almost three times larger than the pizza, sandwich or coffee segment in terms of sales. This acquisition will make the US one of JFC’s most important markets and drivers of long term growth along with the Philippines, China and other Asian markets abroad».

«This partnership will provide additional energy and resources to Smashburger as we expand», said Scott Crane, President and CEO, of Smashburger. «The team at Jollibee is focused on the same values as our company, which are to serve the highest quality food and provide a great dining experience for our guests».

About Smashburger

Smashburger is a leading Fast Casual «better burger» restaurant brand known for its fresh never frozen, 100 percent Certified Angus Beef burgers that are smashed on the grill to sear in the juices, creating an upscale quality burger packed with flavour and served at a great value. In addition to burgers, Smashburger offers grilled or crispy chicken sandwiches, fresh salads, signature side items such as Haystack onions and Veggie Frites, and hand spun Haagen-Dazs shakes. On each markets menu, Smashburger offers locally inspired items like a regional burger, a regional side or a local craft beer. Founded 2007 in Denver, Colorado by Rick Schaden and Tom Ryan, there are currently over 335 corporate and franchised Smashburger restaurants operating in 35 states and seven countries.

About Jollibee Foods Corporation

Jollibee is the largest restaurant chain in the Philippines, operating a global network of over 3’000 stores. The company has also embarked on an aggressive international expansion plan in China, Vietnam, USA and other parts of Asia and the Middle East, firmly establishing itself as a growing international restaurant player. Jollibee was founded by Tony Tan Caktiong and his family with its humble beginnings as an Ice Cream Parlor which later grew into an emerging global brand. At the heart of its success is a family-oriented approach to human resource management, making Jollibee one of the most admired employers in the region. The company has received the «Employer of the Year» Award from the Personnel Management Association of the Philippines, «Best Employer in the Philippines» Award from Hewitt Associated and a «Top 20 Employer in Asia» citation from the Asian Wall Street Journal.