South African family restaurant chain, Mike’s Kitchen has been acquired by NRD Capital, a US-based private equity firm that specialises in franchise investments.
Fin24 reports that Mike’s Kitchen is NRD Capital’s first acquisition in Africa and forms part of a long-term strategy with plans to, over the next five years, acquire and develop multiple brands in SA and across the African continent.
“According to the McKinsey Global Institute, consumer spending in Africa is projected to reach $2.1 trillion by 2025,” said Salim Shermohammed, Mike’s Kitchen’s interim CEO and NRD’s representative in Johannesburg, says NRD Capital, “and NRD is in Africa for the long haul – to invest and re-invest in solid franchise businesses.”
“Our focus at NRD Capital is to invest in quality brands and provide strategic and operational expertise to create sustainable value,” says Aziz Hashim, founder and managing Partner of NRD.
“With well-established brands that can be differentiated from their competitors, we are able to identify significant growth opportunities, while taking a long-term view of investing in people, product, and the customer experience. Essentially, we acquire equity within both franchise and non-franchise concepts that offer compelling unit economics and solid opportunities for franchisees.”