Roark Capital has acquired the 390-unit Nothing Bundt Cakes bakery chain from Levine Leichtman Capital Partners, the two private equity firms said on Friday.
Terms of the contract are not disclosed.
Bundt Cakes, or NBC, alone has more than doubled in size since Levine Leichtman bought the company in 2016, when the chain had 175 locations. The chain generates $ 470 million in system sales in the United States and Canada.
Debbie Shwetz and Dena Tripp founded NBC in 1997. The chain is headquartered in Addison, Texas. She is known for her homemade Bundt cakes, ranging from small “Bundtinis” to tiered Bundt cakes that serve 26 of them.
The niche bakery is largely franchised, which is one of Roark Capital’s main specialties. In addition to numerous restaurant chains – including the owner of Dunkin ‘Inspire Brands, the owner of Cinnabon Focus Brands and CKE Restaurants – the private equity firm also owns a number of non-restaurant franchises. It recently acquired the cleaning services company ServiceMaster Brands, for example. It is also a major investor in The Cheesecake Factory.
This is the 29th restaurant investment for Roark. Kyle Smith, CEO of Nothing Bundt Cakes, called Roark “a premier partner who shares our values of transparency and excellence and has deep expertise with its incredible portfolio of brands.”
Clay Harmon, Managing Director of Roark, said that NBC is “a special brand with delicious products that are loved by customers” and that the company has “a great admiration for what Kyle and his team have accomplished.”