Here's a scoop – Wendy's to expand

ICE-CREAM franchisor Wendy’s is planning to expand its store network in NSW and Queensland.

The expansion is being financed by a fresh injection of capital after co-founder Geoff Davis sold the business to a consortium of senior management and an Asian private equity firm.

Last year, Allied Brands, which owns rival ice-cream brand Baskin-Robbins, failed in a bid to buy Wendy’s.

Wendy’s new chief executive, Nicola Milne, said the ownership structure agreed with Navis Capital Partners would give the people who ran the business a chance to own a stake.

„The acquisition will provide the capital and strategic capabilities required for the business to commence an exciting phase of innovation and growth,“ she said.

Wendy’s was founded 25 years ago in Adelaide and now serves ice-creams, milkshakes and hot dogs to about 750,000 people a week through its network of 300 stores and turns over more than $120 million a year.

Ms Milne said that the buy-out gave Wendy’s an advantage in what was a highly competitive marketplace, allowing it to compete with the growing number of rival franchises in the food and treats market.

Source: smh.com.au