Chain of doughnut stores snapped up by global franchise group
A chain of doughnut stores with branches in Bristol and Bath has been sold toa national business.
The father and son team who were once owned the largest Burger King franchise in the UK have acquired Crosstown Doughnuts.
The brand has been sold after it launched a search for new investment earlier this year.
The company, an artisan doughnut, small batch ice-cream and specialty coffee brand, operates 27 locations and employs 140 employees.
Following the acquisition by Karali Group, Crosstown Doughnuts will continue to be led by chief executive Hoard Ebison.
The majority of Crosstown Doughnuts’ stores operate from market units, kiosks, concessions and trucks and are located across London and in Bath and Bristol.
National law firm Freeths advised Karali Snacks, a subsidiary of the Karali Group, on the acquisition.
The Karali Group is a long-established, diversified, multi-national hospitality and real-estate platform operating franchises in the fast-food and casual dining sectors.
The Freeths legal team was led by national head of commercial Iain Bowler and restructuring and insolvency director Miles Hacking.
They were supported by a multi-disciplinary team including Real Estate Partner Lucy Bradban.
Iain said: “We’re delighted to have acted on behalf of the Karali Group on the acquisition of Crosstown Doughnuts and wish them every success with the development of this exciting new venture. This deal continues the business’s innovation strategy in the bakery sector and with the experience of the Karali Group behind it, there is no doubt that Crosstown Doughnuts will go from strength to strength.”
Karim Janmohamed of Karali Group added: “We extend our heartfelt appreciation to Iain, Miles, Lucy and the entire Freeths team for their professionalism and drive to get the transaction executed. We are excited about the future of the Crosstown brand and thrilled to be associated with a brand that exemplifies excellence in the sector.”
Sarah Teal, corporate restructuring and advisory partner at Shoosmiths, said: “We are pleased to have played a part in this pivotal moment for the Crosstown team. Today’s result is thanks to many hours of dedicated collaborative work and it has been a pleasure working closely with Crosstown and their advisers at Interpath. We are confident that with the backing of Karali, this exciting business will continue to flourish and grow.”
