Whataburger, Inc. Purchases 92 Restaurants from Franchisee

Family-owned Whataburger, Inc. today announced the acquisition of its largest franchisee, Whataco, Inc., a Midland, Texas-based company operating 92 units in four states and Mexico.

The acquisition supports Whataburger, Inc.'s growth and brand strategy and coincides with the business plans of Whataco majority owner, The Redstone Companies, a Houston-based investment firm.

Whataburger, Inc. assumes ownership of the 92 restaurants in Texas, New Mexico, Oklahoma, Louisiana and Mexico on April 15. Focused on quality food and strong customer relationships, teams of field and corporate employees will work with more than 2,000 Whataco team members to continue the 53-year-old burger tradition.

"This is much more than a financial agreement to Whataburger," said Whataburger President & COO Tim Taft. "It's about brand continuity. Whataburger, Inc. wants to make sure Whataco's loyal customers continue to receive Whataburger's trademark products and hospitable service."

Whataco, Inc. was formed in 1995 to franchise Whataburger restaurants. Since that time, Whataco has experienced steady growth in units and profits and has been the largest Whataburger franchisee for the past four years.

With this purchase, Whataburger, Inc. now owns more than half of all Whataburger restaurants, strengthening its position in its home state of Texas and expanding its presence in the states between Texas and Arizona.

Whataburger was founded in 1950 by Harmon Dobson in Corpus Christi and today operates over 600 restaurants in ten states, with annual sales topping $700 million.


Logos, product and company names mentioned are the property of their respective owners.

Reader Comments:

Be the first to leave a comment for this article

Tweet