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Pizza Chain Buys Middle-East Eatery

(October 2009) posted on Thu Oct 08, 2009 EDT

Papa Bello branches out with Kebab Cafe


Papa Bello Enterprises Inc. said it has signed a letter of intent to acquire the Kebab Cafe; a Southern California-based restaurant concept specializing in Middle Eastern-style cuisine with a European twist. The Kebab Cafe currently operates a flagship location in the Westfield Mall in La Jolla, Calif., and anticipates opening up to 10 new corporately owned locations in 2010 as well as building out the concept for franchising.

“This opportunity to acquire the Kebab Cafe would be a tremendous step in the evolution of Papa Bello,” said Jim Price, ceo of Papa Bello, which operates about 20 pizza restaurants, several of which are in Walmart stores. “As we continue to expand our company, we see tremendous value in diversifying and adding new concepts that are different from our core brand. We understand that regional tastes vary from state to state and the public demands variety."

Current development plan calls for the Kebab Cafe to build out 600-square-foot locations in food courts, airports, and malls. Terms of the deal – which Papa Bello expects to finalize by the end of this month -- were not disclosed.


Terms:

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