Operations
Wingstop makes minority investment in UK arm
May 25, 2021
Wingstop, which has more than 1,500 locations worldwide, has made a minority investment in its UK business, operated by Lemon Pepper Holdings Ltd. The investment follows a strong performance in the UK and underscores the brand's confidence in the market, Wingstop CFO Michael Skipworth said in a company press release.
"We believe this strategic use of our capital will strengthen the development pipeline in that market, and I am excited to join the Lemon Pepper Holdings Board of Directors and play a role in helping achieve the potential for the Wingstop brand in the UK," he said.
Dallas-based Wingstop entered into a 100-restaurant agreement in 2017 with LPH — founded by Saul Lewin, Tom Grogan, Herman Sahota and Paddy Bamford — as the sole franchisee for the UK market. LPH opened Wingstop's first restaurant in the heart of central London, and its portfolio now has a mix of high-street, shopping mall and ghost kitchen locations.
The UK saw its highest sales growth in 2020 and continued to open seven locations despite successive national lockdowns. This investment follows the opening of a Wingstop in Reading last month — the first outside of London and one of several planned openings this year, which will include Manchester, Kingston-upon-Thames, Birmingham Bullring and Bristol.
"Since launching in the UK market in 2017, Wingstop has brought its flavoursome chicken wings to thousands of hungry guests across several high-profile locations," Grogan, director of LPH, said in the release. "We've been delighted by the overwhelming response from guests and look forward to bringing our brand to more regions of the UK in coming years."
In pursuit of becoming a Top 10 Global Restaurant Brand, Wingstop continues exploring expansion opportunities in Europe as well as in key markets around the world including China and Canada, where its first restaurant is planned to open by 2022.
Dow Schofield Watts and Baker McKenzie served as advisers to Wingstop for this transaction.
