QDOBA Mexican Eats, the San Diego-headquartered fast-casual Mexican food chain, might be up for sale.
According to a Bloomberg report, Apollo Global Management Inc., the New York-based private equity firm that acquired the company from Jack in the Box, Inc. last year for $305 million, is exploring a sale of QDOBA Restaurant Corp. that could be worth up to $550 million, including debt.
“We’re extremely grateful for the guidance, strategy and resources Apollo has provided,” QDOBA CEO Keith Guilbault said in an emailed statement to Bloomberg. “Now, as Apollo explores a potential sale, it shows the health and strength of the QDOBA brand as we continue to focus on what we do best -- creating flavor that our customers love and cultivating a culture that our team members enjoy every day.”
Bloomberg reports Apollo is working with advisers. It also said that QDOBA "generates about $50 million in annual earnings before interest, taxes, depreciation and amortization, a 25% year-over-year increase, while same-store sales have risen 4% over the same period."
QDOBA has more than 750 locations in the U.S. and Canada. Apollo is said to want to sell QDOBA after attempts to take Chuck E. Cheese parent CEC Entertainment Inc. public via a reverse merger fell apart in July. Representatives for Apollo declined to comment.
Travel & Hospitality reporter Mariel Concepcion can be reached at firstname.lastname@example.org or 858-634-4625.