Genesis Capital Advises Papa Johns on Major Strategic Refranchising Agreement to Accelerate Domestic Development

Genesis Capital Advises Papa Johns on Major Strategic Refranchising Agreement to Accelerate Domestic Development

Genesis Capital is pleased to announce Papa John’s International, Inc. (NASDAQ: PZZA) (“Papa Johns®”) has refranchised its majority stake in the joint venture between Papa Johns and Blue and Silver Ventures. Sun Holdings, a leading multi-brand franchisee operator and one of Papa Johns largest domestic franchise partners, has assumed control of 90 Papa Johns restaurants in Texas. Blue and Silver Ventures continues to be a limited partner in the venture and their ownership remains unchanged.

The strategic refranchising deal between Papa Johns and Sun Holdings builds on the historic development agreement signed in September 2021, under which Sun Holdings will open 100 new restaurants across high-growth markets, including in Texas, by 2029, in addition to the restaurants it has acquired.

“Sun Holdings is a proven, well-capitalized operator who understands our ambitious goals to expand the footprint of our brand,” said Amanda Clark, Papa John’s Chief Development Officer. “We will continue to build new corporate restaurants as well as refranchise when we can provide our franchisees strategic scale to support the brand’s long-term growth, with this deal as a great example.”

“We are excited to partner on an even larger scale with Papa Johns, an innovative brand that is well-positioned in the QSR industry and has already begun to deliver a high return on our investment,” said Guillermo Perales, President and CEO of Sun Holdings. “We look forward to growing together and are thankful to the team at Papa Johns for the trust they are placing in Sun Holdings.”

Genesis Capital, LLC served as financial advisor to Papa John’s International, Inc.

About Papa Johns
Papa John’s International, Inc. (NASDAQ: PZZA) opened its doors in 1984 with one goal in mind: BETTER INGREDIENTS. BETTER PIZZA.® Papa Johns believes that using high-quality ingredients leads to superior quality pizzas. Its original dough is made of only six ingredients and is fresh, never frozen. Papa Johns tops its pizzas with real cheese made from mozzarella, pizza sauce made with vine-ripened tomatoes that go from vine to can in the same day and meat free of fillers. It was the first national pizza delivery chain to announce the removal of artificial flavors and synthetic colors from its entire food menu. Papa Johns is co-headquartered in Atlanta, GA. and Louisville, KY. and is the world’s third-largest pizza delivery company with more than 5,600 restaurants in 50 countries and territories as of Dec. 26, 2021.

About Sun Holdings
Sun Holdings, Inc. was founded in 1997 by Guillermo Perales, funded by an SBA loan. Sun’s portfolio has been ranked as the second-largest franchisee group in the U.S. by Mega 99, 2021 Rankings. Mr. Perales has developed a portfolio that includes companies that own and operate more than 1,300 locations in 12 states, creating more than 28,000 jobs. He has also overseen the development of over 200 new stores and completed 200 store remodels in the last three years. Today, his companies own and operate Taco Bueno and also operate Burger King, Popeyes, Arby’s, Applebee’s, T-Mobile, McAlister’s, IHOP, GNC and several airport restaurant locations. Mr. Perales’ organization has been awarded the MUFSO Golden Chain Award and Nation’s Restaurant News’ Top 10 Power List. He has also been named Ernst & Young’s Entrepreneur of the Year, IFA’s Entrepreneur of the Year, Dealmaker of the Year and Latino Executive of the Year by D CEO Magazine and Nation’s Restaurant News’ Most Influential CEO for 2021, as well as appearing on Latino Leaders Magazine’s 101 Most Influential Latinos for several consecutive years.

Company Type: Public Corporations

Transasction Type: Sellside M&A

Industry: Consumer