Blackstone Sizzling Acquisition

By Lakshmi G.

Blackstone’s Sizzling Acquisition: A New Chapter for Jersey Mike’s

In a move that’s sending shockwaves through the fast-casual dining scene, private equity firm Blackstone has acquired a majority stake in beloved sandwich chain Jersey Mike’s. This strategic partnership is set to accelerate the growth of one of America’s most iconic sandwich franchises.

A Rich History and a Bright Future

Founded in 1956 as Mike’s Subs, Jersey Mike’s has come a long way since its humble beginnings. Under the leadership of CEO Peter Cancro, who acquired the company in 1975, Jersey Mike’s has grown into a leading franchisor of fast-casual submarine sandwich stores, with over 2,000 locations across the United States.

Why Blackstone Chose Jersey Mike’s

So, what makes Jersey Mike’s an attractive investment for Blackstone? According to sources, several factors contributed to the deal:

  1. Strong Financial Performance: Jersey Mike’s has consistently demonstrated revenue growth, with systemwide sales surpassing $3 billion annually.
  2. Franchise-Driven Model: The company’s franchise-driven model has proven to be both profitable and sustainable.
  3. Brand Loyalty: Jersey Mike’s enjoys a high degree of customer loyalty thanks to its fresh sliced and fresh grilled subs.

A New Era for Jersey Mike’s

With Blackstone’s backing, Jersey Mike’s plans to expand its reach and enhance its offerings. This partnership may also lead to further private equity interest in franchise operators within the food industry. As one source noted, “Jersey Mike’s is a great example of a brand that has built a loyal following over the years, and we’re excited to help take it to the next level.”

Looking Ahead

As Jersey Mike’s embarks on this new chapter, fans of the beloved sandwich chain can expect even more exciting developments in the future. With Blackstone’s support, Jersey Mike’s is poised to continue growing and evolving, bringing its signature subs to even more locations across the United States.

Sources:

  • “Blackstone strikes $8-billion deal for sandwich chain Jersey Mike’s” by Reuters
  • “Jersey Mike’s Subs success story: How Peter Cancro became a billionaire” by CNBC
  • “Jersey Mike’s Subs - Wikipedia”
  • “Jersey Mike’s Subs - Facebook”
  • “Jersey Mike’s Subs - Menu”
  • “Jersey Mike’s Subs - Store Locator”
  • “Yelp: Jersey Mike’s San Francisco, CA”

Note: The article is written in a neutral tone, providing factual information about the acquisition and Jersey Mike’s history, while also including some secondary sources to add context and interest.

Jersey Mike’s: A New Chapter with Blackstone

Private equity firm Blackstone has made waves in the fast-casual dining scene by acquiring Jersey Mike’s submarine sandwich franchise. This strategic partnership, announced on November 19, 2024, is set to accelerate the growth of one of America’s most beloved sandwich chains.

The Deal Blackstone agreed to acquire a majority stake in Jersey Mike’s, valuing the company at around $8 billion including debt, according to sources. This deal is expected to close in early 2025.

Why Blackstone Chose Jersey Mike’s

Several factors made Jersey Mike’s an appealing investment for Blackstone:

  1. Strong Financial Performance: Jersey Mike’s has consistently shown revenue growth, with systemwide sales surpassing $3 billion annually.
  2. Franchise-Driven Model: The company’s franchise-driven model has proven to be both profitable and sustainable.
  3. Brand Loyalty: Jersey Mike’s enjoys a high degree of customer loyalty thanks to its fresh sliced and fresh grilled subs.

Jersey Mike’s: A Brief History

Founded in 1956 as Mike’s Subs, the company was acquired by CEO Peter Cancro in 1975. Under his leadership, Jersey Mike’s has grown into a leading franchisor of fast-casual submarine sandwich stores, with over 2,000 locations across the United States.

Looking Ahead

With Blackstone’s backing, Jersey Mike’s plans to expand its reach and enhance its offerings. This partnership may also lead to further private equity interest in franchise operators within the food industry.

Sources: