Chain restaurant veterans Doug Jacob, the co-founder of &pizza, and Sandy Beall, former CEO of Ruby Tuesday, are raising funds to acquire an existing "quick-serve" restaurant brand.
The pair formed a shell company called FAST Acquisition Corp. that hit public markets on Friday with the goal of raising at least $200 million for the purchase.
"We assimilate fast and I think we'll pick a good brand," Beall told Cheddar.
These kinds of special-purpose acquisition companies (SPACs) were once derided on Wall Street, but have recently become a more popular means of taking a company public.
"The credibility of SPACs has grown tremendously as you've seen in the market today," Jacob said. "It's speed to capital. It's price certainty."
The team's criteria include restaurants with "small dining rooms" that utilize "an alternative way to get cuisine to the customer." The use of third-party or native delivery is also a plus.
Jacob said the team chose now to make this acquisition because coronavirus has accelerated a number of trends in the restaurant industry that it hopes to benefit from.
"You're going to see real estate prices drop dramatically, probably the lowest real estate prices in the past decade," Jacob said. "So our ability to grow through this time, as opposed to growing out of leases, we think is going to be a huge benefit. Talent is also going to be available."
Both executives touted their experience managing public companies, but Jacob highlighted his experience running restaurant chains that employ technology in new ways.
"We're going to apply a lot of our knowledge in tech, both with off-the-shelf solutions as well as building our own tech stack," he said.
In addition to investments in real estate and tech, the team is aiming to help bolster the brand of whatever company it acquires to meet shifting consumer expectations.
"I don't think consumers are going to attach themselves to brands that don't have values that align with their values," Jacob said.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
Starbucks’ AI barista aims to speed service and improve experience. Nick Lichtenberg, Fortune Business Editor, explains its impact on workers and customers.
