The group, which operates restaurant brands including Wagamama, Frankie & Benny’s and Coast to Coast, has acquired Barburrito’s 16 sites, which are primarily located in shopping centres, city centres and transport hubs.
Barburrito, which was founded by Morgan Davies and Paul Kilpatrick in 2005, is described by TRG as being ‘well aligned with consumer trends including healthy eating, convenience, and customisable cuisine’, with an average spend per customer of £10. It will be integrated into TRG’s Leisure & Concessions division.
TRG says there is ‘significant scope’ to further develop and expand the burrito brand, particularly in the south of England, where there is limited presence. The initial expansion plan would be to double the existing estate over the next four years, it says.
For the period ended 26 September 2021, Barburrito's profit before tax was £1.7m and as at 26 September 2021 its gross assets were £3.9m.
The 16 existing sites are expected to contribute adjusted company level EBITDA of c.£1.6m to TRG over the next 12 months.
“Barburrito's strong current trading gives us confidence in its ability to align with and extend TRG's track record of market outperformance,” says TRG.
In 2018 Barburrito partnered with TRG to help it expand into airports.
