A subsidiary of Canadian franchisor and quick-service restaurant operator MTY Food Group has closed the $22.35m acquisition of bring-your-own-wine restaurant chain Casa Grecque’s assets.
The company paid approximately $20.91m of the total consideration on closing, as well as assumed $0.19m in net liabilities. However, it held back $1.25m. The deal was announced on 31 October.
Assets covered under the deal include Casa Grecque restaurants, a central kitchen, a distribution centre and some external customers.
Also based in Canada, Casa Grecque currently operates 31 franchised restaurants across Quebec. The company reported more than $45m in system sales last year.
The deal is expected to strengthen MTY Food’s presence in casual dining and complement the current portfolio in the bring-your-own-wine restaurant category.
With the completion of the transaction, MTY will now continue to operate the Casa Grecque concept from its current headquarters in Laval, Quebec, led by its general manager and corporate counsel Peter Mardakis.
In another development, the QSR chain has entered an agreement to purchase the assets of gourmet burger restaurant chain South St. Burger.
Based in Canada, South St. Burger currently operates 26 franchised and 14 corporate restaurants. It has reported $28m in system sales in the last 12 months.
The transaction is subject to multiple conditions customary and expected to close within the next 90 days. The company will finance the total consideration for the transaction through cash on hand and existing credit facilities.