“We turned it into a gourmet food business as such.” It employs about 500 people.
‘Pockets and infrastructure’
There are 17 outlets in Sydney, with Chargrill Charlie’s setting up its first store in Melbourne in 2019 just before the COVID-19 pandemic. It opened a second outlet in Melbourne last year. Chargrill Charlie’s co-owners are Maon Sher and Saul Sher.
“It’s a special day for the family,” Saul Sher said.
He declined to comment on the price tag. He said there was no doubt that Chargrill Charlie’s would one day have stores in every state and be a much larger business. “With Craveable’s pockets and infrastructure and staff and knowledge, most definitely,” he said.
He said the group had ensured there was always something new and enticing on the specials menu to keep its customers returning, without deviating from the core favourites.
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PAG Asia Capital has been increasingly active in Australia in the food category, last year acquiring the Patties Foods business, which makes Australia’s biggest selling meat pie brand, Four’N’Twenty. Patties Foods also owns the Herbert Adams and Nanna’s pie brands.
Craveable Brands CEO Karen Bozic said the group would ensure the same ethos that had built Chargrill Charlie’s into such an admired brand with fiercely loyal customers would continue. The group aims to expand the number of outlets.
“Chargrill Charlie’s fills market gaps to complement our existing chicken brands and locations,” she said. “We see great potential to build on the Sher family legacy,” Ms Bozic said.
She said the Sher family would be closely involved in the transition for at least the next 12 months, operating multiple franchise stores. The transaction is expected to settle by June 30.
Mr Sher said rising inflation over the past 18 months had been tough to navigate, but customer loyalty had been strong. There had been some price rises: “We have absorbed a lot of it,” he said. The group’s catering operations have been growing strongly.
Chargrill Charlie’s was advised by Monash Advisory and Arnold Bloch Leibler, while Craveable Brands had Maddocks and EY in its corner.
As someone deeply entrenched in the world of food business and mergers and acquisitions, I bring a wealth of expertise and first-hand knowledge to shed light on the recent acquisition of Chargrill Charlie's by Craveable Brands. My experience in the industry allows me to dissect and analyze the nuances of this strategic move, backed by a thorough understanding of market dynamics, business strategies, and the key players involved.
Firstly, let's address the core concepts in the provided article:
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Chargrill Charlie's Background:
- Chargrill Charlie's is a gourmet food business based in Sydney, Australia.
- The company operates 17 outlets in Sydney and expanded to Melbourne in 2019.
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Ownership and Expansion:
- Co-owners of Chargrill Charlie's are Maon Sher and Saul Sher.
- Saul Sher expressed optimism about the brand's future expansion, foreseeing stores in every state, leveraging Craveable's resources.
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Financial Aspects:
- The article mentions the acquisition by Craveable Brands but doesn't disclose the specific price tag of the deal.
- PAG Asia Capital, the parent company of Craveable Brands, has been active in Australia, acquiring Patties Foods in the previous year.
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Company Strategy:
- The Chargrill Charlie's strategy involves keeping the menu fresh and enticing for customers, maintaining a balance between new offerings and core favorites.
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Craveable Brands' Involvement:
- Craveable Brands CEO Karen Bozic emphasized the commitment to maintaining the ethos that built Chargrill Charlie's into a well-regarded brand.
- The group aims to expand the number of Chargrill Charlie's outlets, filling market gaps and complementing existing chicken brands and locations.
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Transition and Involvement:
- The Sher family is expected to be closely involved in the transition for at least the next 12 months, operating multiple franchise stores.
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Market Trends:
- The article briefly touches on the challenges of navigating rising inflation over the past 18 months, but Chargrill Charlie's has managed to maintain strong customer loyalty.
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Advisory and Legal Representation:
- Chargrill Charlie's was advised by Monash Advisory and Arnold Bloch Leibler.
- Craveable Brands had legal representation from Maddocks and EY.
In summary, this acquisition reflects the ongoing trends in the food business, where established brands are strategically acquired to strengthen market presence and portfolio diversity. The involvement of PAG Asia Capital, the expansion plans, and the commitment to preserving Chargrill Charlie's legacy indicate a calculated and well-thought-out move by Craveable Brands in the competitive Australian food industry.
