Barrio Queen purchase marks third acquisition in past year for parent of Famous Dave’s as it changes its name to Famous Hospitality, Inc.
BBQ Holdings, soon to be Famous Hospitality, Inc., agreed to acquire the Barrio Queen restaurant group through an asset purchase agreement. The $28M deal for the Mexican fine-dining chain will be funded through cash and debt. The announcement came with the release of BBQ Holdings’ earnings report for Q4 and full fiscal year 2021.
Commented Jeff Crivello of BBQ Holdings, “We are excited to welcome Barrio Queen into the BBQ Holdings family. It’s a beloved brand with an entrepreneurial team that has done a great job. The food offerings and environment are unlike any of our other brands. It will be a truly unique addition to our portfolio. We look forward to continuing their path of success.”
The purchase of Barrio Queen restaurant group, will add eight restaurants to the diversifying portfolio of brands. It already includes Famous Dave’s BBQ, Granite City, and Village Inn, among others. Barrio Queen currently operates seven units across Arizona with another scheduled to open in December.
In October, BBQ Holdings also purchased the Tahoe Joe’s Steakhouse brand. In addition, the company closed the purchase of two restaurant-bar locations in March.
Revenues in fiscal 2021, which ended January 3, totaled $507.9M, compared to $301.7M in the prior fiscal year. Total company restaurants grew their comp(arable) sales 36.7% from pre-pandemic 2019, while franchise stores were up 25.9%. Total comp sales in 2021 increased 29.8% versus 2019.
Company executives expect the acquisition of Barrio Queen to close in about 45 days.
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