Private Equity Firm Plans Accelerated Growth for Fast-Casual Mexican-Fusion Franchise
Thompson Street Capital Partners, a St. Louis-based private equity firm, has announced the acquisition of Bubbakoo’s Burritos, a franchisor of fast-casual Mexican-fusion restaurants. Bubbakoo’s, founded in 2008 in Wall Township, N.J., by partners Bill Hart and Paul Altero, began franchising in 2015 and has since expanded to more than 130 locations in 15 states, primarily along the East Coast and in the Midwest.
“Bubbakoo’s has created an innovative and compelling brand that resonates with a broad and growing customer base,” said Bob Dunn, managing partner at Thompson Street Capital Partners (TSCP). “Bill and Paul have built something special — an exciting concept with strong franchisee relationships, consistent unit growth and a passionate following. We are thrilled to partner with the team as they enter this next phase of expansion.”
Joe St. Geme, managing director at TSCP, said the acquisition will provide support for Bubbakoo’s continued growth through investments in technology, brand development, infrastructure and franchisee support systems. “[Bubbakoo’s] has built a strong foundation, and our team is eager to help accelerate growth while maintaining the culture and values that have made Bubbakoo’s a success,” he said.
The acquisition comes as the fast-casual segment outperforms other dining segments including quick-service restaurants and casual dining. Last year, Bubbakoo’s experienced sales growth even greater than Chipotle, and was the second-fastest growing chain in the fast-casual Mexican category, according to Technomic Data. Bubbakoo’s recently made the Entrepreneur Franchise 500 list as well as the 2023 Inc. 5000.
Growth Based on Quality, Hospitality and Culture
Bubbakoo’s founders Hart and Altero developed the concept after years of working together in the restaurant industry.
“From our earliest days in New Jersey to now having more than 130 locations across the country, we’ve been incredibly proud to see our vision resonate with guests, franchisees and communities,” Hart said. “Our growth has always been grounded in our commitment to food quality, hospitality and a culture that values individuality and innovation.”
Altero added that he, Hart and TSCP share a commitment to serving customers and franchisees. “Thompson Street Capital Partners brings deep experience in scaling founder-led businesses and shares our passion for supporting franchisees and delivering great experiences to customers,” Altero said. “With their support, we’re confident Bubbakoo’s can accelerate its growth into new markets, invest in technology and infrastructure, and continue building a world-class franchise system.”
Innovative Menu Items
Bubbakoo’s Burritos features a variety of unique, customizable menu items made to order with fresh, bold ingredients. Its signature “Killer Creations” include the honey sriracha chicken burrito, General Tso’s crispy chicken burrito, hibachi steak and shrimp burrito, pineapple express burrito, and Philly steak burrito. Customers can also build their own burritos, bowls, quesadillas, tacos, salads, nachos and vegetarian options.
About Thompson Street Capital Partners
Thompson Street Capital Partners (tscp.com) is a middle-market private equity firm that helps transform already exceptional businesses into market leaders. Based in St. Louis, TSCP invests globally in the life sciences and health care, software and technology, business and consumer services and products sectors. The firm partners with management teams to increase value by accelerating growth, both organically and via complementary acquisitions.
