Hargett Hunter Capital Partners, a North Carolina-based private investment firm focused exclusively on the hospitality industry, has acquired a majority stake in The Original ChopShop Co of Scottsdale, Arizona.
Financial terms of the investment have not been disclosed.
Founded in 2013, ChopShop is an emerging healthy fast casual restaurant concept serving fresh and organic bowls, salads, sandwiches and juice. ChopShop currently operates three units around the greater Phoenix area and was named the 2014 Emerging Restaurant of the Year by the Arizona Restaurant Association.
ChopShop co-founder, Ryan Jocque, will continue to lead the company’s brand positioning and the development of future locations in the Phoenix area.
“Because of Hargett Hunter’s deep experience in the restaurant industry, they know and understand our customer and our business,” says Jocque. “We believe that under their leadership, ChopShop can quadruple its number of locations in the next three years. Hargett Hunter was by far the most collaborative group that we encountered during our process of seeking the perfect future partner.”
Jeff Brock, managing partner at Hargett Hunter Capital Partners, says: “We have built a relationship with ChopShop for more than a year and are excited about the opportunity to invest in such a special brand. Ryan Jocque, Caitlin Jocque, Chad Landau, and Brooks Holcomb have built a unique brand, and we are excited to provide both capital and industry expertise to help accelerate the company’s growth.”
ChopShop executes in four dayparts – breakfast, lunch, dinner and snack – building traffic frequency from a loyal and diverse customer base. The expansive drink menu features pressed juices, protein shakes, teas and fresh lemonades.
“This investment fits Hargett Hunter’s strategy of investing in restaurant concepts that not only resonate with customers, but also have compelling unit economics,” says Jason Morgan, managing partner at Hargett Hunter. “We will invest in the ChopShop team and brand in order to grow quickly, and profitably.”
This transaction marks the inaugural investment by Hargett Hunter. “We are excited to publicly launch our firm’s efforts by investing in such a special company as ChopShop as it positions us to execute on future investment opportunities that have emanated from our deep roots, relationships and commitment inside the domestic restaurant industry,” says Brock. “Hargett Hunter brings experienced, professionalized support and flexible capital to restaurant companies that are often considered too small of an investment by traditional private equity firms. We believe private equity investment will continue to evolve toward our unique model of strategically matching the needs of our investors to the needs of our operating companies, all while flexibly structuring around the preferred investment horizons of all stakeholders.”
