News

Krispy Kreme readies for Dallas growth

July 12, 2013

Krispy Kreme Doughnut Corporation has completed the sale of three company-owned Krispy Kreme shops in the Dallas market to Sun Holdings LLC, and has also executed a development agreement with Sun Holdings to develop 15 additional locations in the market throughout the next five years.

Sun Holdings, whose principal owner is Guillermo Perales, operates nearly 400 restaurants in Texas and Florida, including the Burger King, Popeye's, Arby's, CiCi's, Golden Corral and Del Taco brands. The company also operates 13 T-Mobile stores.

"We are very pleased to begin what we expect will be a fantastic business relationship with Mr. Perales and the team at Sun Holdings," said Cindy Bay, senior vice president, U.S. Franchises and Company Stores. "Their extensive franchise experience with well-known brands gives us great confidence that they are the ideal group to represent the unique Krispy Kreme brand in the Dallas market."

Perales, president and CEO, Sun Holdings, added that the unit economics of Krispy Kreme's new prototype are "very attractive." Krispy Kreme is expanding a smaller, freestanding factory prototype that features the same doughnut production capabilities as traditional stores.

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