Wingstop founders secure major deal with Sixth Street

Deal News | Feb 05, 2025 | Freeths LLP

Wingstop founders secure major deal with Sixth Street

Leading law firm Freeths has advised the founders of Wingstop UK, a franchise of the global fast-food chain, on selling a majority stake in their business to private equity powerhouse Sixth Street. Wingstop UK, established in 2018, has rapidly become a prominent player in the UK dining scene, renowned for its deep-rooted involvement in local youth culture and partnerships with British music, fashion, and sports. Their first location launched in 2018, and by the end of 2024, the company had established 57 sites, employing over 2,500 individuals, and is projected to grow further to 200 locations in the next five years. The transaction was led by Freeths' Partner Francis Dalton with a team comprising Stephen Jones, Matthew Cooper, and Ewen Lowrie. This strategic transaction is anticipated to propel Wingstop UK's market presence and innovative growth plans.

Sectors

  • Foodservice
  • Private Equity
  • Legal Advisory

Geography

  • United Kingdom – The article concerns Wingstop UK, based in the United Kingdom and its business expansion in the region.
  • Global – The involvement of a global private equity firm, Sixth Street, denotes the international scope of the investment and its potential implications worldwide.

Industry

  • Foodservice – The article discusses Wingstop UK, a restaurant chain, focusing on its growth and strategic partnership with Sixth Street.
  • Private Equity – The involvement of Sixth Street, a private equity firm, in acquiring a majority stake in Wingstop UK highlights the industry's role in the transaction.
  • Legal Advisory – Freeths LLP, a legal advisory firm, played a pivotal role in advising on the transaction, showcasing the importance of legal advice in M&A activity.

Financials

    Participants

    NameRoleTypeDescription
    Wingstop UKTarget companyCompanyA franchise of Wingstop that operates in the UK and has seen significant growth since its founding in 2018.
    Sixth StreetBuyerCompanyA global private equity firm that acquired a majority stake in Wingstop UK.
    Freeths LLPLegal advisorCompanyA leading law firm that advised Wingstop UK's founders on the stake sale.
    Francis DaltonPartnerPersonA partner at Freeths LLP who led the advisory team for this transaction.