US-based private equity company Roark Capital is considering a sale of bakery chain Nothing Bundt Cakes, as reported by Reuters.
A potential deal could value the business at more than $2bn.
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Roark has engaged advisers North Point and Bank of America to manage the sale process, which is likely to begin in early 2026.
The advisers and Roark did not comment when contacted, and Nothing Bundt Cakes had not responded to requests for comment.
The Dallas-based bakery chain, established in 1997, offers hand-crafted bundt cakes in multiple flavours and sizes.
Roark purchased Nothing Bundt Cakes in 2021 from Levine Leichtman Capital Partners.
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By GlobalDataAt the time of that purchase, the business had 390 locations.
It currently operates 700 outlets across more than 40 US states and in Canada, a mix of franchised and company-owned stores.
The business is anticipated to generate $120m of earnings before interest, taxes, depreciation and amortisation (EBITDA) in 2026.
Roark, which operates $41bn in assets, has made several purchases in the franchised restaurants sector in recent years.
Its transactions include the purchase of fast-casual restaurant chain Dave’s Hot Chicken for $1bn in 2025, and the acquisition of American sandwich chain Subway in 2024.
Separately, Roark was reported last year to be in early-stage discussions about a potential initial public offering (IPO) for Inspire Brands, the parent company of fast food chains including Dunkin’, Arby’s and Jimmy John’s.
