Tasty Brands, LP ("Tasty"), an affiliate of Triton Pacific, announced that its portfolio company, Tasty Hut, LLC, recently completed the acquisition of 27 franchised Pizza Hut restaurants, located across four states in the Appalachian region of the U.S. The aggregate purchase price for the restaurants was $8.7 million, plus transaction costs and expenses. The transaction closed on June 15.
This acquisition serves as an add-on investment with Tasty Hut, LLC and includes seventeen locations in West Virginia; five locations in Kentucky; four Ohio locations; and one Virginia location. The expansion strategically aligns with Tasty Hut's investment and growth strategies and further validates its ability to expand its base of operations into core markets.
"We are very excited to have the opportunity to expand our footprint in this part of the country," said Craig Faggen, Triton Pacific's CEO. "Pizza Hut is a proven leader in the quick service restaurant space and was very supportive of the transaction. Given Tasty Hut's track record of success in West Virgina and the broader Appalachian region, coupled with positive trends in this base of store's historical financial performance, we believe that there is very meaningful opportunity for growth and profitability through ROI-driven asset actions and new store development."
With this acquisition, Tasty Hut, LLC now includes 221 Pizza Hut restaurants across 11 states. In addition to Tasty Hut, LLC, Tasty also includes the portfolio company and Burger King franchisee, Tasty King, LLC. Tasty owns 68 Burger King restaurants in addition to its Pizza Hut locations.