Virtual restaurant company Peckwater Brands acquires Honest Food Company’s operations in four countries

Virtual-restaurant-company-Peckwater-Brands-acquires-Honest-Food-Company-s-operations-in-four-countries.png

Peckwater Brands has acquired the operations of Honest Food Company in four European countries to become Europe’s largest operator of virtual food brands.

Peckwater, which already operates from 500 locations in the UK, US, France, Belgium, and the UAE will expand its international footprint by adding HFC’s operations in Finland, Sweden, Hungary, and Czechia.

Founded in 2019, Peckwater Brands builds delivery-only food brands, delivered through a ‘data-driven software solution’, which are prepared in kitchens worldwide alongside their day-to-day operations.

The business operates a mix of licensed brands spanning several categories including chicken (Seoul Chikin, Flip the Bird, Katsu), burgers (Dukes, Proper Tasty) and have also run shared brands with partners such as Unilever, Buzzfeed, and Heinz.

The move to acquire Honest Food Company comes shortly after Peckwater’s £15 million Series A funding round in June 2022, which was backed by Stonegate Group, SBI Investments, Fuel Ventures, and Pembroke VCT.

This funding round brought the company’s post-money valuation to £65 million, accelerating its expansion into new markets and a secondary software-based offering.

Honest Food Company is owned by Delivery Hero, having been acquired by the German-listed delivery aggregator in 2020.

Leo Bradshaw, Executive Chair of Peckwater, said: “We’re excited to bring HFC’s excellent operations under the Peckwater banner. Under Delivery Hero’s ownership, HFC has established a leading position in the European market, and combining this with the UK’s largest estate will create Europe’s largest virtual brand operation.

“We announced our intention to accelerate international expansion with our Series A funding, and this represents a massive step forward for Peckwater Brands. Having opened our French and Belgian operations organically in the three months since our funding round, we’re delighted to be adding operations in four more mature markets.”

Sam Martin, CEO of Peckwater, added: “The growth and development we’ve seen at Peckwater in recent months is astonishing – the dedication of our team and their faultless execution of our strategy has been integral to our success.

“The HFC team have shown the same level of focus, talent, and opportunity in building their impressive position in the European market. With their brands now under our banner, I am sure that our rate of growth won’t just be sustained – it will accelerate further.”