Mediterranean culinary brand Cava Group has closed an acquisition of US fast-casual restaurant group Zoe’s Kitchen for nearly $300m.
First announced on 16 August, the deal saw Cava Group paying $12.75 per share in an all-cash transaction to Zoës Kitchen’s shareholders.
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Zoe’s Kitchen currently operates 261 locations, while Cava operates 66 restaurants in the US.
Cava Group has commenced operations for the combined entity with immediate effect.
Cava Group’s CEO Brett Schulman said: “Today’s announcement is an exciting milestone for CAVA, and we’re thrilled to welcome Zoës Kitchen to our team. Together, these two brands are united by a shared heritage and passion for exceptional Mediterranean cuisine.
“With this acquisition, CAVA will be able to broaden our geographic footprint and meet the needs of even more guests, whether in Bethesda or Birmingham, Plano or Pasadena, who crave delicious, healthy food without compromise.
“As part of the Cava family, Zoës Kitchen will benefit from Cava’s track record of bold culinary innovation and leveraging data and technology to drive growth and convenience.”
The addition of Zoës Kitchen will allow Cava to enhance guest experiences in the fast-casual space by leveraging unique service models, digital and app-based sales channels, an extensive product range and relationships with delivery service providers.
In addition, Cava will operate the combined entity from its new headquarters in Washington DC while maintaining its presence in Plano, Texas.
Schulman will act as the new CEO of the combined entity, and Zoës Kitchen’s CEO Kevin Miles will retire from his role.
Miles said: “It’s been an honour and privilege to lead the growth of this amazing organisation over the past nine years. It’s been a total team effort and I’m most proud of the positive impact that the Zoës team has had on so many lives, including our team members, guests and business partners. I also want to thank the support of our investors over the years.”
