Appetite for Change

McAlister's Deli (Ridgeland, Miss.), an owner, operator and franchiser of a chain of quick casual restaurants, has been acquired by Roark Capital Group, an Atlanta-based private equity firm.

McAlister’s, which offers a variety of signature sandwiches, salads, soups, stuffed baked potatoes, wraps and desserts, has 170 franchised and company-owned locations across 19 states generating more than $200 million of system-wide sales.

The move marks Roark’s sixth acquisition in the franchise sector and its first under its recently raised $413 million fund. Roark's other franchise businesses include Carvel, Cinnabon, Money Mailer, Fastsigns and certain international markets for Seattle's Best Coffee.

“McAlister's Deli is synonymous with high quality food, variety and service,” said Neal Aronson, founder and managing partner of Roark. “McAlister's management team, led by its chief executive officer, Phil Friedman, has done an excellent job of developing a strong brand name and unit-level model that is profitable and effective for both franchisees and company stores.”

Friedman will maintain his position as head of the company. “Given Roark's proven track record in the franchise industry, we are excited about our new partnership,” he said. “We have only begun to capitalize on our potential and expect to further accelerate the growth and awareness of the McAlister's brand.”