The Los Angeles private equity investment firm Brentwood Associates on Friday said that it has acquired K-MAC Holdings Corp., one of the largest Taco Bell franchisees in the United States.
K-MAC, located in Fort Smith, Ark., is a major franchisee of Louisville, Ky., fast food restaurant giant YUM! Brands Inc. K-MAC operates 190 restaurant locations in the Midwest, including 166 Taco Bell, 19 KFC and five Golden Corral restaurants. K-MAC will continue to be led by Chief Executive Sam Fiori and Chief Operating Officer Tina Reagan. Financial terms of the deal were not disclosed.
“K-MAC has achieved tremendous growth and success throughout its history,”
Anthony Choe, partner at Brentwood Associates, said in a statement. “We look forward to leveraging our expertise in growing consumer businesses to help management continue its growth into the future.”
This is the third investment that Brentwood Associates has made in the restaurant industry, and second in the YUM! franchise system. The K-MAC investment was made through its Brentwood Associates Private Equity IV L.P. entity, with the Arlon Food and Agriculture Investment Program and Northwestern Mutual Capital as partners. BofA Merrill Lynch, Wells Fargo Bank, and SunTrust Robinson Humphrey arranged the senior debt financing portion.
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