Spur is buying Doppio Zero and Piza e Vino
The Spur Corporation has announced that it will acquire a 60% interest in the restaurant brands Doppio Zero, Piza e Vino and Modern Tailors, with a portfolio of 37 franchised and company-owned restaurants, as well as Doppio’s bakery and central supply business.
The interest in the Doppio Group is being acquired from founders and shareholders, Paul Christie and Miki Milovanovic.
In an announcement to shareholders on Thursday (27 July) Spur said its strategy is to expand into categories, markets and channels where it is not fully represented.
Its current speciality dining portfolio currently comprises 40 restaurants across The Hussar Grill, Nikos and Casa Bella brands with dinner trade representing about 71% of speciality turnover.
The Doppio Group will nearly double the Spur Corporation speciality portfolio and enable the group to substantially increase its share of the speciality day-time dining market, it said.
“Doppio Zero has extensive expertise in the bakery and coffee speciality market and offers a bespoke day and evening dining experience. Piza e Vino complements the group’s Italian offering provided by Panarottis (78 restaurants) and Casa Bella (6 restaurants).”
As the Doppio Group operates predominantly in Gauteng, with only 4 of the restaurants located outside the province, the transaction creates an opportunity for the group’s franchisees to invest and expand their brand portfolios nationally, particularly with Doppio Zero, which is the most established of the brands.
The Doppio Group’s bakery also provides supply chain opportunities to the group.
The Doppio Group generated total sales of over R600 million in the financial year ended 28 February 2023.
The restaurants are styled on the European café culture. The first Doppio Zero opened as a bakery and café in Greenside, Johannesburg, in 2002 and over time the offering expanded from an artisanal and exclusive bakery into a full-service restaurant, offering a range of Mediterranean specialities and traditional Italian fare.
Piza e Vino is a pizzeria with café-style dining and al fresco seating.
The most recent addition to the brand portfolio is the bespoke Modern Tailors restaurant inspired by Indian cuisine.
A total of 669 employees will be transferred from the Doppio Group, with 14% being support staff and employees of the bakery. The remaining staff are employed at the company-owned restaurants. Christie and Milovanovi will continue as executives of the Doppio Group for a minimum of five years.
“Following an operational and business due diligence, supported by valuations by management and independently assessed by an external corporate finance institution, the group has concluded heads of agreement with the founders.
“The effective date of the transaction is expected to be 1 September 2023, following the fulfilment of all conditions precedent and notification to the Competition Commission,” Spur said.
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