The US firm says its investment will catalyse outlet growth for the fast-casual and café group in its native Chinese market where consumers are increasingly seeking healthier premium hospitality experiences
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Wagas Group operates 250 locations under the Wagas, Baker and Spice, Funk & Kale and LOKAL brands | Photo credit: Wagas
Advent International has acquired a 60% interest in Chinese multi-brand restaurant company Wagas Group for an undisclosed sum.
The US private equity investor, which also has a stake in US coffee chain The Coffee Bean & Tea Leaf, said Wagas’ founding shareholders will continue to manage the day-to-day running of the business.
Wagas Group currently operates 250 locations across 13 Chinese cities under the Wagas, Baker and Spice, Funk & Kale and LOKAL brands.
Advent International said Wagas is well positioned to capitalise on increasing health awareness and growing lifestyle trends in China and that it will assist the brand in growing its footprint across the country.
“Consumers are increasingly pursuing healthy lifestyles and we believe demand for casual, quality dining options will continue to see rapid growth. We are highly impressed with Wagas’ people and culture, its dedication to quality, and its longstanding partnerships with top mall operators in China. Advent has the expertise and strong track record in creating lasting value for restaurant brands and we look forward to providing our best resources, commitment to the brand’s high-quality offering and support for its national growth plans,” said David Chen, Principal of Advent.
Massachusetts-based Advent International also has investments in premium food ingredients company IRCA and travel retailer Dufry.