Restaurant franchiser Fat Brands Inc. will acquire 85 Nestlé Toll House Café by Chip stores and rename them within its recently acquired Great American Cookies chain.
The deal between Fat (Fresh. Authentic. Tasty.) and Crest Foods Inc. comes after a busy 2021, during which Fat added eight restaurant concepts to its portfolio—including Twin Peaks, Fazoli's and Native Grill and Wings—for a total of 17.
When Fat acquired Global Franchise Group last summer, there were just shy of 300 Great American Cookies outlets, many of which are located in malls. The 85 Nestlé Toll House locations will be renamed Great American Cookies.
As seen in this video, one of Great American Cookies’ signature offerings is cakes created with cookies.
Nestlé Toll House Café by Chip bills itself as a premiere dessert café selling cakes, cookies, coffee, ice cream and milk shakes as well as crepes, flatbreads, paninis and wraps.
The chain has a licensing deal with Nestlé for the Toll House, Milano, Edy’s and Nescafe brands.
“In 2022 we are focused heavily on our deep organic growth pipeline, but we saw great value in making this accretive acquisition,” Fat CEO Andy Wiederhorn said in a news release last week.
In a Q1 earnings call on May 8, Wiederhorn said Fat’s primary goal this year is to digest last year’s acquisitions.
“That being said, there are strategic acquisition candidates we expect to capitalize on in 2022 that are additive and fit within our current operations and give us the chance to expand our factory business through tuck-in acquisitions.”
Prior to last year’s acquisitions, Fat’s restaurant brands included Fatburger, Johnny Rockets, Buffalo’s Cafe, Buffalo’s Express, Hurricane Grill & Wings, Elevation Burger, Yalla Mediterranean and Ponderosa and Bonanza Steakhouses.
For the 13 weeks ended March 27, Fat had an adjusted net loss of $18.5 million.