Operations

Firehouse Subs selling to RBI for $1B

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November 15, 2021

Restaurant Brands International Inc., which owns Tim Hortons, Burger King and Popeyes, is acquiring Firehouse Restaurant Group Inc. for $1 billion in an all-cash transaction, according to a company press release.

Founded in 1994 in Jacksonville, Florida, by brothers and former firefighters Chris Sorensen and Robin Sorensen, Firehouse Subs has 1,200 units and is on target to reach system-wide sales of $1.1 billion by year's end. Franchisees own and operate 97% of its restaurants across 46 U.S. States, Canada and Puerto Rico, and the chain is expected to generate roughly $50 million of 2021E Adjusted EBITDA3.

"Firehouse Subs is a special brand with a talented team, impressive culture and community focus that resonates with guests and closely aligns with our core values at RBI," José Cil, CEO of RBI, said in the release. "We see tremendous potential to accelerate U.S. and international growth at Firehouse Subs with RBI's development expertise, global franchisee network and digital capabilities. We are excited to welcome the Firehouse Subs team to the RBI family and to continue our ambitious dream of building the world's most loved restaurant brands."

Firehouse CEO Don Fox said the chain was committed to serving hearty and flavorful food as well as offering heartfelt service and public safety, so joining the RBI family of brands provides an opportunity to assist more communities.

"The donations we generate for our Foundation through our restaurants means changing and saving lives, so we can't wait to accelerate our journey at home and around the world," he said.