Maple Park Capital Partners has acquired a majority stake in Rita’s Italian Ice & Frozen Custard, as announced in a recent press release. The financial details of the transaction have not been disclosed. This partnership is expected to facilitate Rita’s growth and expansion through its franchise network, according to Rita’s CEO, Linda Chadwick.
Rita’s, with over 575 locations across 30 states, is making strides in expanding into new markets such as Texas and Michigan. In a recent update, the company reported a 5.9% increase in unit growth, signaling continued momentum heading into the fourth quarter of 2024.
The rapid expansion and growth trajectory of Rita’s likely attracted Maple Park Capital Partners, a firm that specializes in investing in service-oriented businesses within the experiential economy. Rita’s expansion in the Midwest, with new units opening in Ohio and Indiana, showcases the chain’s adaptability with features such as drive-thru options and walk-up windows in smaller locations.
In 2023, Rita’s generated approximately $182 million in system sales, with average unit volumes reaching around $340,000 for the year. The menu offerings at Rita’s include a rotating selection of over 80 flavors, along with frozen custard, gelati, concretes, frozen coffee, Rita’s Blenders, and milkshakes. Seasonal flavors like Pumpkin Frozen Coffee, Kool-Aid Tropical Punch Ice, and Sour Patch Kids Watermelon Ice have been well-received by customers.
The influx of private equity firms investing in the restaurant industry has been on the rise, driven by improved economic conditions. Examples include Blackstone’s acquisition of majority stakes in Jersey Mike’s and Tropical Smoothie Cafe, signaling a trend of strategic investments in established restaurant chains.
Overall, the partnership between Maple Park Capital Partners and Rita’s Italian Ice & Frozen Custard is poised to accelerate the chain’s growth and expansion efforts, tapping into new markets and enhancing the customer experience. With a focus on innovation and adaptability, Rita’s is well-positioned to thrive in the evolving landscape of the restaurant industry.
