The deal will enable Metro Franchising to expand its Dunkin’ footprint beyond the New York metro area for the first time, with previous majority shareholder Quilvest Capital Partners exiting the franchise business
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Dunkin’ has more than 9,600 US outlets, nearly all of which are franchise owned and operated | Photo credit: Halah Fallatah
US private equity firm Beach Point Capital Management has acquired a majority stake in New York-based Dunkin’ franchisee Metro Franchising from Quilvest Capital Partners.
Founded in 1998, Metro Franchising currently operates 105 Dunkin’ stores across the New York metro area and will use new investment to grow its coffee shop footprint in the city and expand to Southeastern US states.
In a press release, Beach Point said Metro Franchising CEO Stuart Cohen and President Paul Waltzer will retain their roles and remain shareholders in the business.
“The partnership with Beach Point represents a new chapter for Metro Franchising, and we are confident that with their support, we will be able to accelerate our growth locally and in new markets. Beach Point's deep understanding of our business and the franchising landscape is exactly what we need to further our expansion goals,” Cohen said.
Metro Franchising grew its Dunkin’ estate from 44 stores to 105 under Quilvest’s tenure as majority shareholder, primarily by acquiring other Dunkin’ licensees.
Inspire Brands-owned Dunkin’ has more than 13,700 outlets in 40 markets globally, including more than 9,600 locations in the US, nearly all of which are franchise owned and operated.
As of 30 June 2024, Beach Point managed approximately $17bn in Assets Under Management (AUM). The private equity firm’s other majority investments over the last two years include Seattle-based commercial landscape firm Botanical Designs, US pet food manufacturer Wet Noses and sustainable thrift store chain Brightmore Brands.