Exclusive – Boparan Restaurant Group secures debut UK site for Carl’s Jr: Boparan Restaurant Group (BRG) has secured the UK debut site for US brand Carl’s Jr, in Cardiff, Propel has learned. BRG, which is led by Satnam Leihal, has secured a site at the St David’s shopping scheme, next door to Slim Chickens, which BRG also operates in the UK. The new site is scheduled to open early next year. In May, Propel revealed that BRG had signed a master licence agreement to launch Carl’s Jr here. BRG signed an agreement with CKE Restaurants Holdings to develop Carl’s Jr restaurants in the UK and the Republic of Ireland. Under this agreement, BRG will open, operate, and franchise restaurants throughout the UK and Ireland as the exclusive Carl’s Jr developer. Propel understands that no number has been put on the size of the rollout in the UK. BRG also owns Gourmet Burger Kitchen, Carluccio’s and the Fishworks brands. In June, the company hired David Moffat, formerly of Hero Brands and German Doner Kebab (GDK), to oversee the UK operation of its Carl’s Jr franchise. Moffat, who was most recently was head of franchising at Lucky B’s, a hot chicken concept based in Glasgow, joined BRG as country general manager – Carl's Jr UK franchise. Moffat, who also previously worked with Stonegate Group and Gondola Group, helped grow GDK to 100-plus sites. Founded in 1941, Carl’s Jr, the California-born restaurant brand, is accelerating plans for global expansion. CKE currently operates more than 1,100 international restaurants under the Carl’s Jr brand in more than 35 countries around the world.
Swingers co-founder – it is inevitable that the competitive socialising sector will be consolidated: Jeremy Simmonds, co-founder of crazy golf brand Swingers, has told Propel he believes it is inevitable that the competitive socialising sector will be consolidated. Simmonds co-founded Swingers ten years ago in London with Matt Grech-Smith. Earlier this month, the business launched its latest site at the Mandalay Bay Resort and Casino in Las Vegas, its third US venue and fifth overall. It will soon make its debut in the Middle East, with the opening of its first franchise site Dubai’s Bluewaters Island, and will return to the US next autumn to open a site in Boston. Simmonds told Propel: “It makes perfect sense for a platform to be created with shared access to resources. There are some fantastic brands with great business models that would benefit from common ownership. In many cases these brands operate better when they are co-located together. In addition, there is a huge opportunity when it comes to loyalty, cross selling and driving down customer acquisition costs.”
In this week's Propel Premium Opinion, which will be sent to Premium Club members tomorrow (Friday, 8 November) at 5pm, Simmonds talks about the company’s ten-year journey and why competitive socialising is now recognised as a distinct – and valid – sector of the hospitality industry. Meanwhile, Propel group editor Mark Wingett looks at the deal that will again take Loungers private, and what comes next for the Nick Collins-led business. Premium Diary includes Mitchells & Butlers, Oakman and Bill’s. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier. Email kai.kirkman@propelinfo.com today to sign up.
ETM Group secures new investment to support growth, JV with St Austell obtains £6m to aid regional sports bar roll out: ETM Group and Maven Leisure has secured £3.7m of new investment to support its further expansion plans in London, after reporting like-for-like growth of 8.3% in the year to February 2024. Combined full-year turnover across both businesses was £43.5m with year-on-year growth of 15.8%, while combined full-year site Ebitda across all businesses was £8.9m with year-on-year growth of 17%. The business said that combined full-year company Ebitda across all businesses was £3.3m with year-on-year growth of 42.9%. New site openings during the year were Marlowe in Shoreditch and the company’s latest sports venue, Northwood Sports Bar and Kitchen in Islington. The business also reopened Chiswell Street Dining rooms in the City. Since the year end in February, the business has opened Kitty Hawk, a rooftop bar and restaurant overlooking Trafalgar Square, while Blackwood Sports Bar in Shaftesbury Avenue near Piccadilly Circus is currently being fitted out, with an opening scheduled for the first half of 2025. The company said “further exciting new projects are in development”. To fund this growth the business has secured additional investment of £3.7m (a combination of debt secured with NatWest and EIS equity). ETM has also been supported with growth capital from alternative lender ThinCats since 2022. The company said: “Like all hospitality operators in the sector the changes announced by the government to the national insurance rules for next year will have a significant detrimental effect on employment costs. It is estimated that the annual cost to the London business (Sport London and ETM Collection) will be circa £610,000. Actions around labour efficiency, wage rates and headcount will have to be taken to mitigate some of this increase but much will need to be taken in price to consumers against the background of an already inflationary environment.” At the same time, the joint venture between the directors of ETM Group and St Austell Brewery has secured £6m of funding to roll out regional sports bars under its Ludo Sports Bar and Kitchen. Last May, the joint venture opened the first Ludo Sports Bar & Kitchen at the former Graze site in Bath. Following the success of that first site, it has now secured funding with HSBC to open more. A second Ludo site will open in Exeter, in the Guildhall shopping centre later this month, with a further four sites planned in the near term.