Posted on 06/17/2019 9:16:30 AM PDT by Red Badger
Fast-food chain Whataburger beloved by generations of folks living in the Southeast is now the property of a Chicago investment firm.
BDT Capital Partners has agreed to acquire a majority stake in San Antonio-based Whataburger, the companies announced Friday.
Financial terms of the deal were not released.
Whataburger will continue to be headquartered in San Antonio, Texas, and the groups will begin exploring expansion plans, according to a statement.
Whataburgers founders, the Dobson family, will keep a minority ownership position in the company. President and CEO Preston Atkinson and board chairman Tom Dobson will keep their seats on the board, but will retire from daily operations.
The decision to sell the company is both exciting and bittersweet for the family, Tom Dobson said.
Whataburger has been the heart and soul of our family legacy for nearly 70 years, but we feel really good about the partnership with BDT, he said. They have a track record of success with businesses as special as ours that want to grow, while preserving culture and family history. They are trusted advisors and partners who have worked closely with other family businesses and they have a tremendous reputation for doing the right thing.
Ed Nelson, Whataburgers chief financial officer and controller, will become the companys president. Several other company executives are also being promoted.
Whatburger was founded by entrepreneur Harmon Dobson in 1950. According to the companys website, Dobson had one goal in mind: to serve a burger so big that it took two hands to hold, and so good that after a single bite customers couldnt help but exclaim, What a burger! He named his humble burger stand, located on Ayers Street in Corpus Christi, Whataburger.
Today, Whataburger has more than 820 locations, with more than 670 of those in Texas. Whataburgers other locations are in the South and Southwest, including Alabama, Arizona, Arkansas, Florida, Georgia, Louisiana, Mississippi, New Mexico and Oklahoma. The company has more than 43,000 employees and has more than $2 billion in annual revenue, according to a company news release.
Whataburger is an iconic brand and extraordinary company with an important legacy of family ownership, loyal customers, valuable community involvement, dedicated and talented employees, and a highly experienced management team, Tiffany Hagge, managing director of BDT Capital Partners, said in a written statement. We look forward to a long-term partnership with the Whataburger team, continuing their commitment to serving high-quality, great-tasting food at a value and delivering a superior customer experience. We are excited to support Whataburger as they continue to innovate and pursue accelerated growth in existing and new markets.
The sale was not unexpected. Whataburger said last month that it had hired investment banking firm Morgan Stanley to help the company figure out how best to fuel its expansion.
Whataburger has grown significantly over the years. And, in order to keep satisfying our customers, weve been exploring different options to expand the brand and introduce it to new audiences, Atkinson said. Weve gone through this process purposefully and diligently because we wanted to find a partner who honors our values, culture and 69-year legacy of family tradition.
Never had one; are they any good?
First things to go will be the In God we Trust and God Bless America signs...
Oh well expect price increases. Patties are so thin anyway. Make your own and add some mustard for that Whataburger taste. Big government and big corporate often team up to screw us all.
They may as well be serving cardboard. Their patties are thin and have lots of gristle. We switched to DQ about a year ago.
On another note, I broke a tooth on a bone fragment and couldn’t find the attorney who accepts service. They have about 5 addresses for “headquarters”. And some outfit out of Kentucky handlea their complaints. They stopped being “Texan” about two generations back.
I'm on diets for diabetics (no bread) and gout (no beef). BUT, about twice a year, I treat myself to a double or triple Whataburger cheeseburger with "the works" -- plus a small fries with their "spicy hot " ketchup.
That's about as close to "hamburger heaven" as you can get, IMO...
Of course, I "behave myself" by having water instead of the big shake I crave... '-)
As a displaced Texan...I am really bothered by this. It’s the equivalent of In-N-Out Burger being sold and run by a company from New York. I can hear the death rattle now...
We ate at Whataburger for lunch yesterday.
Little did we know it may be the last time we get good burgers there...............
Hardees is still good...................
these are my local Nashville area spots for old school hand patty burgers ....buttered toasted bun...a key step<>
where I grew up in Mississippi these were the Gold Standard
Dont you dare disparage whataburger Mr.
As just some Texans favorite burger joint
Whataburger is a top tier burger chain like In and Out or Culvers or the southeasts new chain Cook Out which is decent too
We aint talking McDonalds or Burger King or Crap in the Box
This like White Castle buying Krystal
Its blasphemous
Having tried JITB, Five Guys, Fatburger, Culvers, and Whataburger,
In-n-out has NOTHING to worry about. Well, perhaps the power of advertising, but their product is SO superior...
I know a lot of folks like In n Out, but I was disappointed. Objectively, the Five Guys burger is better. Shake Shack is even more overrated.
Good grief, I know just where that is. If you remember it being put in, youre older than me. I just remember going to Gibsons as a kid and flipping through the bargain bin LPs and that Whataburger makes me think of Island Girl playing on the radio.
They better not mess with Texas’ Whataburger. I’ll drive miles past other chains to get to a Whataburger.
Different strokes, I suppose. I have yet to have a superior Five guys burger, and I have never been disappointed by In-N-Out. Fries, however, five guys blow in-n-out completely outta the water.
If we all liked the same thing, what a boring world it would be!
Chicago investment firm. BDT Capital Partners decided to cut costs to turn a tidy profit.
The restaurant chain is now called: Whatisintheburger?
True, notice I said “objectively” better. I have a soft spot for the Steak ‘n’ Shake Wisconsin Butter Burger (far more buttery than Culver’s Butterburger).
Yeah, I really like Chicago Pizza. As do a few others.
wardaddy, amen to Browns and Rotiers! I also enjoy Joes Place in Green Hills. True dive.
“my lads are aching for a mountain trip and Amarillo to Tucumcari to Las Vegas NM “
A buddy of mine was once the postmaster of LV NM. I’d never heard of it before he took the job. A small but somewhat historic town.
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