Bridgepoint, the private equity backer of Pret A Manger, has confirmed it has reached an agreement with Restaurant Brands International to become the UK master franchisee of Burger King, which currently operates over 500 sites here.
As revealed by MCA earlier this week, it will also simultaneously acquire Caspian UK Group, one of the UK’s largest Burger King franchisees with 74 restaurants.
The deal will see the establishment of a new Burger King UK entity, which will be controlled by Bridgepoint with Burger King Europe retaining a minority stake.
The new entity will enter into a 20-year master franchise agreement giving it the right to be the custodian of the Burger King brand in the UK, control over the brand’s proposition in the UK and the right to roll-out new stores across the country.
The new management buy-in team will be headed by chairman-designate Martin Robinson, the current chairman of Casual Dining Group. Robinson is also the former chairman of Center Parcs and Wagamama. The new team will lead the company’s management of the UK territory as well as the rollout of further stores across the country.
It is thought that Tim Doubleday, also formerly of CDG, will assume the role of chief financial officer in the new set up, with a chief executive currently being sought.
It is understood that Bridgepoint sees the opportunity to improve the brand’s infrastructure and offer, whilst also looking to further expand its estate, with the growth of equity stores. It is thought that it will look to invest significant funds into buying out other individual franchisees. Burger King currently has over 30 franchisees in the UK.
“We are thrilled to announce this agreement to increase the pace of growth for the Burger King brand in the UK, one of the world’s largest quick service restaurant markets,” said José Cil, president of the Burger Kingbrand. “The Bridgepoint team has extensive experience in the UK market and a strong track record investing in and developing leading brands in the quick service restaurant industry, which positions them well for success.”
Bridgepoint said: “Burger King is a pre-eminent global consumer brand with a robust and growing presence in the UK market, well-liked by consumers. This is an opportunity to work with a highly regarded management buy-in team to re-invigorate a much-loved brand and to grow the existing UK business.”
Robinson said: “Burger King is an iconic global brand with a long-standing heritage in the quick service restaurant market. Working with Bridgepoint and BKE, the team believes it can deliver growth and further opportunities for the brand to flourish in the UK market.”
