Elite Restaurant Group acquires Gigi’s Cupcakes franchise out of bankruptcy
Buying spree brings company to nearly 120 restaurants under four brands
Los Angeles-based Elite Restaurant Group has added another brand to its growing portfolio.
Elite has acquired assets of the 68-unit Gigi’s Cupcake chain out of bankruptcy. Elite also owns the casual-dining Slater’s 50/50 chain, the fast-casual Mediterranean concept Daphne’s, as well as Patxi’s Pizza.
With the addition of the all-franchised Gigi’s brand, Elite’s restaurant portfolio will include close to 120 locations and gross sales of nearly $150 million, said David Eldredge, Elite’s head of marketing.
As a company, Elite seeks out distressed franchised brands with the goal of turning them around for long-term growth as a franchisor. Elite is also considering a move to go public, though Eldredge did not indicate timing.
The goal now is to demonstrate growth with the brands Elite has taken on in recent years. Eldredge said the company is investing in technology and operational systems that could be applied across the various brands to bring the concepts more into the 21stcentury. Those tools might include things like digital loyalty programs rather than printed coupons, for example.