An Atlanta investment company has acquired a majority stake in Fuzzy’s Taco Shop, the fast-growing Fort Worth-bred restaurant chain that started with a single location near TCU.
NRD Capital Management, formed in 2014 to help small and medium-sized companies grow through franchising, will own about 70 percent of the company. The purchase price was not disclosed.
The two parties said Friday that the capital infusion will help the 90-unit chain continue to expand through franchising. Fuzzy’s President Chuck Bush said the current management team, including Vice President Mel Knight, will stay in place to run day-to-day operations.
Fuzzy’s, a Baja-style Mexican eatery known for its tasty tacos and big frozen beer mugs, was founded in 2001 and acquired by Bush and his father, Alan, two years later. It has expanded rapidly in recent years and now operates in 11 states.
Bush said Fuzzy’s has opened five stores so far in 2016 and has plans for 20-30 more this year. The NRD investment will accelerate new development, he said, adding that specifics of the growth plan have not been released.
“We’re thrilled to be partnering with NRD Capital,” Bush said in a statement. “We knew that to grow our business dramatically, we needed a partner who knows franchising, has access to qualified developers and is willing to partner with our existing team to enhance the brand and maximize growth.”
Aziz Hashim, founder and managing partner of NRD, said Fuzzy’s met his firm’s investment criteria and he expects to grow the company responsibly. NRD also recently acquired Frisch’s Big Boy Restaurants.
“This means we have the correct type of support for our franchisees; we are very selective on real estate and that quality and customer service do not suffer,” he said via e-mail. “We will add locations as quickly as responsible growth will allow.”