News

The Chalak Group secures $17 million in funding

March 25, 2012

The Chalak Group has raised $17 million in equity financing that will be used to expand its Genghis Grill and Baker Bros. American Deli chains, in addition to expand the number of restaurants it owns through a franchise agreement with Yum! Brands.

The funds will carry the company through the next 18 to 24 months of brand expansion, said CEO Al Bhakta.

At present, the company owns and operates 33 Yum! Brands restaurants and 12 Baker Bros. locations. It also is the parent company of Genghis Grill, which has a combined 86 company- and franchised-owned locations.

The Chalak Group purchased Baker Bros. American Deli in November 2011 and opened its 12^th location three weeks ago in Fort Worth, Texas. The location is a new store-model for Baker Bros. and "many new initiatives are underway to keep improving the brand," Bhakta said.

Baker Bros. is headed by president Henry Leonard and COO Jimmy Salas.

"Their main focus will be to re-energize the Baker Bros. brand and stage it for regional growth through corporately-owned and operated stores first, and then franchise opportunities," said Ron Parikh, The Chalak Group's chief marketing officer.

Read more about restaurant franchising and growth.