Multiconcept operator Dine Brands Global will add another restaurant chain to its portfolio by acquiring Fuzzy’s Taco Shop from Experiential Brands. Applebee’s parent company will pay $80 million in cash to NRD Holding Company for the 138-unit fast-casual chain. NRD bought a majority stake in Fuzzy’s in 2016.
Company projections indicate Fuzzy’s will generate $230 million in sales systemwide in 2022, per a release announcing the deal. And 98% of Fuzzy’s current system is franchised. Founded in Texas in 2003, Fuzzy’s current leadership team includes CEO Paul Damico, a 35-year veteran of the restaurant industry. Damico joined Fuzzy’s in October of 2021.
“Fuzzy’s Taco Shop is a compelling business with a loyal customer base and a distinct identity. It is an attractive asset with a tremendous growth trajectory and will be a complementary addition to our highly franchised portfolio,” said John Peyton, chief executive officer of Dine Brands. “By adding Fuzzy’s to the Dine Brands family, we are investing in a high growth concept as part of our longer-term growth agenda, which is aligned with our strategy to build shareholder value.”