SPB Hospitality Completes Merger with Krystal Restaurants

Transaction builds on the success of SPB Hospitality's extensive portfolio with addition of nearly 300 quick-service restaurants

Apr 27, 2023 - 12:48

SPB Hospitality today announced the completion of its merger with Krystal Restaurants, adding one of the nation’s most iconic restaurants to its growing portfolio of independently operated hospitality brands.

Founded in 1932 in a single Chattanooga, Tennessee location, Krystal today operates nearly 300 restaurants across 10 states, powered by a team of over 3,500 employees. For 90 years, Krystal has maintained its unwavering focus on delivering a one-of-a-kind taste experience through unique menu items offered at a great price. To support its team in maintaining a consistent brand experience across its growing portfolio of locations, Krystal created its Atlanta-based Restaurant Support Center, which provides real-time support and service for Krystal team members nationwide.

“We are thrilled to welcome Krystal to the SPB Hospitality family,” said Josh Kern, SPB Hospitality Interim Chief Executive Officer. “Krystal’s innovative approach to their menu, marketing, and overall strategy is inspiring, and over its 90-year history, Krystal has demonstrated its commitment to SPB’s overriding vision of providing a truly exceptional guest experience.”

Each brand in the SPB portfolio will continue to operate independently, allowing brands to enhance their unique identity to build affinity with consumers. The team will collaborate to share strategic thinking and best practices across brands, taking advantage of shared services and systems to enable restaurants to run more smoothly. With the addition of Krystal, SPB Hospitality supports a work force of 18,500 individuals.

“We continue to have enormous confidence in SPB Hospitality and the work the team is doing to build the most successful restaurant group in the industry,” said Morgan McClure, President of SPB Hospitality and Managing Director at Fortress Investment Group LLC. Funds managed by affiliates of Fortress own SPB, which was created in 2020 to manage its growing portfolio of hospitality brands. “Krystal’s time-honored brand, and dynamic team, are significant additions to the SPB portfolio and a major step forward in achieving SPB’s vision.”