Creative Eateries Corp. Acquires Pasta Pranzo
Creative Eateries Corp. (OTCBB: CEAT) has acquired 100% of Pasta Pranzo Franchise Co., LLC, a fast-casual restaurant concept developed in Los Angeles.
The acquisition includes specific trademarks and service marks, including the Pasta Pranzo trademark, logo and related commercial symbols and slogans, and recipes, including future recipes and the Pasta Pranzo location in the Santa Monica area in west Los Angeles. Existing management will be retained and will join the Creative Eateries team.
Pasta Pranzo's concept is a 1,200 to 1,800 sq. ft. made-to-order pasta restaurant concept which provides a fast-casual alternative to consumers who want great tasting, high quality food, along with speed, value and convenience. It is perceived as an adult fast-food choice with broad appeal among the middle-class segment. The food is prepared fresh daily, with full exhibition kitchen, and a guest check average in the $8.50 range. Average sales are expected to be $750,000 to $800,000 per store and the company expects franchise sales to 30 to 40 by the end of 2006.
Unlike Don Allio's Italian Kitchen, Pasta Pranzo will be a smaller fast-casual restaurant that will provide good hearty pasta dishes for those on the go. Franchise fees for Pasta Pranzo will be less at $25,000 per location and a much lower build out fee in the range of $300,000 per unit.
Creative Eateries intends to build a second Pasta Pranzo store in Arizona, and will add this concept to its formidable franchising efforts nationwide. Frank Holdraker, president & CEO of Creative Eateries Corp., said, "We believe there is a large market for this brand, with little competition." The main competitors are Pasta Pomodoro, owned by Wendy's, and Pasta Bravo, which is owned by Yum Brands Inc.
Pasta Pranzo's concept is a 1,200 to 1,800 sq. ft. made-to-order pasta restaurant concept which provides a fast-casual alternative to consumers who want great tasting, high quality food, along with speed, value and convenience. It is perceived as an adult fast-food choice with broad appeal among the middle-class segment. The food is prepared fresh daily, with full exhibition kitchen, and a guest check average in the $8.50 range. Average sales are expected to be $750,000 to $800,000 per store and the company expects franchise sales to 30 to 40 by the end of 2006.
Unlike Don Allio's Italian Kitchen, Pasta Pranzo will be a smaller fast-casual restaurant that will provide good hearty pasta dishes for those on the go. Franchise fees for Pasta Pranzo will be less at $25,000 per location and a much lower build out fee in the range of $300,000 per unit.
Creative Eateries intends to build a second Pasta Pranzo store in Arizona, and will add this concept to its formidable franchising efforts nationwide. Frank Holdraker, president & CEO of Creative Eateries Corp., said, "We believe there is a large market for this brand, with little competition." The main competitors are Pasta Pomodoro, owned by Wendy's, and Pasta Bravo, which is owned by Yum Brands Inc.