Washington DC-based fast-casual chain &pizza has acquired Tijuana Flats, a Tex-Mex chain with 95 locations.
The deal includes Tijuana Flats’ headquarters in Maitland, Florida, however further terms of the acquisition were not disclosed.
&pizza also launched a new holding company, Latitude Food Group, as part of the transaction, to oversee both brands.
Mike Burns, CEO of &pizza, will take on the role of CEO of Latitude Food Group.
Earlier this year, the pizza company began franchising, signing four new franchise agreements that will expand the chain into Orlando, Atlanta, Charleston, and Raleigh. Tijuana Flats emerged from bankruptcy.
The company has since been refreshing stores and updating its menu, including the addition of Street Tacos to its permanent menu.
&pizza operates locations in New Jersey, Pennsylvania, Washington, DC, Maryland, and Virginia, while Tijuana Flats has a strong presence in Florida and additional units in Alabama, North Carolina, Kentucky, and Tennessee.
With little overlap in markets, both companies will have the opportunity to enter new markets.
“We felt like we could take a lot of the operational and marketing models that we ran at &pizza in the last few years I’ve been here and just replicate that playbook,” said Burns.
Burns also said that Tijuana Flats had streamlined its portfolio during restructuring to minimise complications.
Under Latitude Food Group, the two brands now share HR, accounting, and finance functions.
Moving forward, the companies will form a combined supply chain, given the use of shared ingredients across both brands’ menus.