Guzman y Gomez on $25m capital raise
A Mexican fast food chain is seeking investment of more than $25 million.
Mark Hawthorne, Guzman y Gomez CEO ANZ, told Inside Franchise Business, “Guzman y Gomez is currently going through the process of raising capital in excess of $25 million to expand our growth into international and domestic markets and to support our innovation plans in digital and technology.
“We are in the early stages of discussions but look forward to sharing our growth plans in the future.”
According to the Financial Review, the sale process is believed to be in the hands of Morgan Stanley with KPMG Corporate Finance signed up to conduct vendor due diligence.
What happens after the capital raising is not yet clear, with the media outlet suggesting the new owners will be in place for a minimum of three years. It reports that GYG founders Steve Marks and Robert Hazan are likely to retain a 40 per cent stake in the chain, which has 100 restaurants across Australia, Japan and Singapore.