NEW YORK (Reuters) - Private equity firm Roark Capital Group has clinched a deal to acquire Apollo Global Management-based (APO.N) restaurant group CKE Inc, the parent of the Hardees and Carl’s Jr fast food chains.
Roark prevailed over rival bidder TriArtisan Capital Partners in the later stage of the process, according to people familiar with the matter.
The deal values CKE at between $1.65 billion to $1.75 billion, the people said.
TriArtisan was in the lead to buy CKE in an auction that also drew interest from Roark Capital and Pamplona Capital Management, but discussions were continuing and Apollo could still turn to another buyer, Reuters reported on Monday.
The company, with 3,400 restaurants in 42 U.S. states and 29 countries, competes with fast-food companies such as McDonald’s Corp (MCD.N) and Burger King Worldwide Inc BKW.N.
Atlanta-based Roark has invested in more than a dozen restaurant concepts, including Miller’s Ale House, Arby’s, Auntie Anne’s, Cinnabon, Carvel Ice Cream, Corner Bakery, Il Fornaio, McAlister’s Deli, Moe’s Southwest Grill, Schlotzsky’s and Wingstop.
(This story has been corrected to fix the number of CKE restaurants to 3,400 from “more than 3,000,” and to correct the number of countries where CKE operates to 29 from 25)
Reporting by Olivia Oran in New York; Editing by Soyoung Kim, Bernard Orr