CEC Entertainment, Inc. Purchases 147-store Pizza Chain from ACON Investments
CEC Entertainment, Inc. (“CEC”), the nationally recognized leader in family dining and entertainment which operates 577 Chuck E. Cheese’s stores, today announced that CEC has acquired Peter Piper Pizza (“Peter Piper”), a leading pizza and entertainment restaurant chain operating 32 company-owned locations and 115 franchises in the southwestern U.S. and Mexico, from affiliates of private equity firm, ACON Investments, L.L.C. (“ACON”) for an undisclosed sum.
CEC intends to continue the popular Peter Piper brand with operation of the current restaurants, in addition to implementing growth initiatives to expand Peter Piper nationally.
“This is a great opportunity to welcome another established brand into our proven portfolio and, by extending our portfolio, further secure CEC as the leader in family fun,” said Tom Leverton, CEO of CEC. “This transaction complements our strategy of accelerating Chuck E. Cheese’s growth nationally and globally, while fulfilling our commitment to provide even greater customer experience to children and families. We are confident that this combination will create a world-class team focused on driving hospitality and innovation in our current and future markets, ultimately to the benefit of our valued guests.”
“We are ecstatic to be partnering with Chuck E. Cheese’s, a highly respected and established brand with a deep understanding of our industry,” commented Charles Bruce, President and CEO of Peter Piper. “We are confident that Chuck E. Cheese’s will uphold the Peter Piper commitment to the families and communities we serve, as well as implement initiatives to expand our brand to new customers. Chuck E. Cheese’s has the right combination of new leadership, industry knowledge and financial resources to grow and evolve both of our brands for millennial families. I would like to thank ACON for their support over the last few years. ACON’s leadership was essential in revitalizing our brand and improving our market position.”
Leverton added, “Peter Piper has already begun new brand strategies in recent years, including a heightened focus on technology and stronger engagement with the Hispanic community, one of the fastest-growing segments of the U.S. population. We are eager to build on this foundation and strengthen Peter Piper’s brand by leveraging CEC’s scale, expertise and resources.”
North Point Advisors acted as exclusive financial advisor to Peter Piper. Hogan Lovells acted as legal advisor to Peter Piper. Wachtell, Lipton, Rosen & Katz acted as legal advisor to CEC.