The superfruit specialist Playa Bowls has a new owner.
The private-equity firm Sycamore Partners on Tuesday said it has acquired the 250-unit acai and smoothie chain from Tamarix Equity Partners and other investors. Terms were not disclosed.
“We are excited to be partnering with Sycamore as we take this next step in the Playa Bowl journey,” said Dan Harmon, the chain’s CEO, in a statement. “After a decade of hard work building a strong foundation, we believe Sycamore’s support and resources, as well as their expertise in managing multi-unit franchise organizations, will help us accelerate our growth as we continue to support our franchisees and delight our guests.”
Based in Belmar, New Jersey, Playa Bowls saw sales grow by more than 44% last year to $225 million, with about 216 units, according to Restaurant Business sister brand Technomic. The brand now operates in 22 states. Most of the chain's locations are franchised, though Playa Bowls finished 2023 with 28 corporate shops.
“Playa Bowls has built a unique category leadership position with passionate customers, a loyal franchise base and a great brand, which has allowed the company to scale rapidly in its first decade since inception,” said Stefan Kaluzny, Sycamore Partners managing partner, in a statement. “We are confident Playa Bowls has continued runway for growth and we look forward to partnering with Dan and his talented team to implement their strategy to reach more customers around the country.”
Tamarix and others announced a strategic investment in Playa Bowls in 2021 when the then-six-year-old brand had 126 units.
Sycamore Partners, meanwhile, has a long history of investment in retail brands, including chains like Staples, The Limited, Nine West, Stuart Weitzman and Express. The portfolio also includes Ste. Michelle Wine Estates.
The deal adds to an active merger and acquisition market in the restaurant space this year, albeit one that is divided between haves and have-nots. Franchised brands such as Playa Bowls are fetching healthy valuations as they are less prone to some of the profitability and sales challenges many operators are experiencing.
But restaurant operators are frequently selling at lower multiples amid concerns about sales and profits. Numerous chains have been sold at steep discounts as a result.
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