NRN: Roark Capital Buys Stake in Culver’s

Nation’s Restaurant News reports that Roark Capital Group has purchased a minority share of Culver Franchising System Inc. Previous to the sale, the Culver’s brand had been owned outright by the Culver family since 1984, when the first Culver’s restaurant was opened.

The decision to take on an investor was made after years of consideration and regular propositions from investors. Roark Capital was selected from a pool of interested equity groups because of their experience in the restaurant space. Among other foodservice brands, Roark Capital owns Arby’s Restaurant Group, Carl’s Jr. and Hardee’s, CKE Restaurants, Auntie Anne’s, and Corner Bakery.

The Culver family will remain the majority shareholder of Culver Franchising System Inc.

The Culver family founded the chain more than 30 years ago. Craig Culver noted that he and his siblings are getting older and decided the time was right to bring on another investor.

“We’re all approaching 70,” Craig Culver said. “My sister is 70. I’m 67. My brother behind me is 66. We’re all approaching our older years. We just thought it was the right time.”

Culver said that the company has routinely received interest from private equity firms interested in buying the company. “In the last 15 years, it seems like almost daily,” Culver said. “I’ve said no for a long, long, long time.”