ST. LOUIS — Private equity firm Thompson Street Capital Partners (TSCP) has acquired Freddy’s Frozen Custard & Steakburgers, a Kansas-based franchisor of fast-casual restaurants. Financial terms of the transaction were not disclosed.
Founded in 2002 by Freddy Simon, Randy Simon, Bill Simon and Scott Redler, Freddy’s offers a menu of steakburgers, shoestring fries and frozen custard. The first franchise location opened in 2004, and since then the system has expanded to more than 360 franchised locations and more than 30 company-operated restaurants across more than 30 states.
“When Freddy, Bill, Scott and I started Freddy’s in 2002, our goal was to serve craveable food to our guests with quick-service speed and full-service hospitality at a price that was fair and competitive,” said Randy Simon, co-founder and chief executive officer of Freddy’s. “There remains a large segment of the country where we are not present, and by partnering with TSCP, we will be better able to expand in those areas and continue our strong growth going forward. Obviously, the credit goes to our team members who have contributed immensely to our success to date and to our close-knit family of franchisees who have devoted their time and capital to develop the Freddy’s brand. We are confident that TSCP shares our values and philosophies as we continue to be guided by ‘The Freddy’s Way’ in all we do.”
TSCP invests in founder-led middle market businesses, including more than 150 companies in the health care and life science services, software and technology services and business services and engineered products sectors. Freddy’s mark’s the company’s first foray into foodservice.
“Freddy’s presents an exciting opportunity to partner with the founders and management to continue to grow a premier system by accelerating franchise development, increasing focus on marketing and technology deployment, and enabling operational best practices across the footprint,” said Joe St. Geme, director at TSCP. “We are thrilled to join the Freddy’s family and are excited to invest behind the continued successful expansion of the Freddy’s brand.”