Denver, CO – Smashburger, a prominent name in the “better burger” fast-casual sector originating from Denver, announced today a significant deepening of its partnership with Jollibee Foods Corporation (PSE: JFC), Asia’s leading food service conglomerate. Jollibee has agreed to increase its ownership in Smashburger by an additional 45 percent for $100 million USD. This strategic investment elevates Jollibee’s total stake in the burger chain to a commanding 85 percent.
This acquisition signals a robust endorsement of Smashburger’s trajectory and potential within the competitive fast-casual market, as well as Jollibee Foods Corporation’s strategic ambitions in the global food industry.
Tom Ryan, co-founder and CEO of Smashburger
Tom Ryan, co-founder and CEO of Smashburger, expressed enthusiasm about the strengthened alliance. “Jollibee has proven to be an invaluable strategic partner,” Ryan stated. He highlighted Smashburger’s strong performance in 2017, driven by enhanced guest experiences, successful product innovations, and impactful marketing campaigns. Ryan believes these factors provide Jollibee with “a tremendously strong brand to enter the North American market,” emphasizing the excitement within the Smashburger team to further brand growth and global expansion.
Smashburger’s 2017 success was underscored by the launch of the Triple Double Burger, which sold nearly two million units and set new records for sales and customer traffic. The company also pioneered the Smash Pass, an innovative subscription-based loyalty program, marking a first in the fast-casual dining segment.
Bradford Reynolds, CFO of Smashburger, further elaborated on the benefits of Jollibee’s increased investment. “This reinforced strategic partnership with JFC will enable Smashburger to maintain a sharp focus on growth, both in our current markets and by entering new territories. Southeast Asia represents a particularly exciting opportunity to introduce our high-quality burgers, fries, and hand-spun shakes,” Reynolds noted. He anticipates leveraging the strengthened relationship with Jollibee to solidify Smashburger’s position as a leading international brand in the better burger category.
About Smashburger
Originating in 2007, Smashburger quickly distinguished itself in the fast-casual burger scene. The restaurant is celebrated for its commitment to fresh, never-frozen beef, smashed on the grill to lock in flavor. Beyond beef burgers, Smashburger’s diverse menu includes grilled and crispy chicken sandwiches, black bean burgers, fresh salads, distinctive side dishes, and premium Haagen-Dazs® shakes. Reflecting local tastes, Smashburger customizes menus with regional burger variations, sides, and craft beers. Founded by Rick Schaden with funding from Consumer Capital Partners, Smashburger has grown to over 360 locations across 38 U.S. states and nine countries. For more information, visit www.smashburger.com.
About Jollibee Foods Corporation (JFC)
Jollibee Foods Corporation stands as the largest food service network in the Philippines and a significant global player. As of December 31, 2017, JFC operated an extensive network of 2,875 restaurants within the Philippines, encompassing iconic brands like Jollibee (1,062 outlets), Chowking, Greenwich, Red Ribbon, Mang Inasal, and Burger King.
Internationally, Jollibee Foods Corporation had a substantial presence with 924 stores. This global footprint includes Yonghe King and Hong Zhuang Yuan in China, Dunkin’ Donuts in China, and Jollibee restaurants across the United States, Vietnam, Brunei, Saudi Arabia, UAE, Qatar, Singapore, Kuwait, Hong Kong, Bahrain, Canada, and Oman. Other international brands under JFC include Red Ribbon in the US, Chowking across multiple countries in the Middle East and the US, Highlands Coffee primarily in Vietnam and the Philippines, Pho 24 with locations in Vietnam, Indonesia, Korea, and Australia, and Hard Rock Cafe in Vietnam, Hong Kong, and Macau.
The JFC Group’s worldwide network reached an impressive 3,799 stores, demonstrating its extensive reach and influence in the global food market. This strategic acquisition of a larger stake in Smashburger further exemplifies Jollibee Foods Corporation’s commitment to international expansion and its ambition to lead in diverse segments of the food service industry. The partnership promises to leverage the strengths of both brands, propelling Smashburger’s growth and reinforcing Jollibee’s global presence.
