Sun Holdings, one of the country’s largest franchise operators, has acquired Austin, Texas-based fast-casual concept Freebirds World Burrito. Terms of the deal were not disclosed.
The acquisition includes 64 Freebirds locations across Texas and expands Sun Holdings’ existing portfolio of more than 1,500 restaurant and retail locations.
“Freebirds brings a distinct and vibrant energy to our portfolio. The brand’s commitment to quality ingredients and a customer-centric approach resonates well with us as operators. We believe we can learn from Freebirds in terms of customer loyalty and menu innovation, while also bringing our expertise in operations and growth,” said Guillermo Perales, CEO of Sun Holdings, in a statement. “This acquisition is particularly notable for Sun Holdings as it demonstrates our ability to grow not only as a franchisee, but also as a brand owner. Freebirds is poised for growth and we have an ambitious expansion strategy that we are excited to work on.”
Founded in California in 1987 and moving to Austin in 2016, Freebirds World Burrito is known for its large burritos, salads and bowls. According to data from Technomic Ignite, the company closed 2023 with revenue of $119.7 million, up 8.4% year over year. There were 64 locations, up 3.2% year over year. The chain has also improved its restaurant-level margins in recent years.
Freebirds joins Sun Holdings’ restaurant portfolio, which also includes Applebee’s, Arby’s, Burger King, Golden Corral, IHOP, McAlister’s, Popeye’s and Taco Bueno. The transaction was supported by the expertise of Vin Batra of Soravine Advisors on the buy-side and Susan Miller and Sean Mirzabegian of Morgan Kingston Advisors on the sell-side. The deal was led by Taylor Bennett, Chief Legal Officer of Sun Holdings, and Marcelo Lopez, Director of FP&A, M&A of Sun Holdings.
Contact Alicia Kelso at (email protected)
