Papa Bello Enterprises, Inc. (Pink Sheets: PAPA) is pleased to announce that the company has closed its acquisition of The Kebab Cafe; a Southern California based restaurant concept specializing in Middle Eastern style cuisine with a European twist.
This acquisition will bring in an additional revenue stream to Papa Bello while helping to reach the company's goal of becoming a more diversified food service company.
The Kebab Cafe currently operates a flagship location in the Westfield Mall in La Jolla, California and is currently in negotiations to open two additional corporate locations in the Southern California area over the next few months.
Sam and Jag Kambo, President and Executive Vice President, respectively, of The Kebab Cafe stated, "We are very excited to be acquired by Papa Bello. Their financial and management assistance will give us the necessary tools to help fund our growth and better market our franchise. Our experience in the food industry has given us the ability to make the best food possible, and with Papa's continued help and support, we can be the best company possible."
Jim Price, CEO of Papa Bello states, "Our due diligence process confirmed our initial excitement about the owners, operators and overall business model of The Kebab Cafe. They operate a very efficient business and have the ability to further expand their footprint Nationwide. I have seen the crowded restaurant, experienced the cuisine and can personally attest to the quality of the food and the organization. Accordingly, I believe that each individual Kebab Cafe location should be able to operate with a 20-30% net profit margin. In conjunction with our original timeline, we are currently in the branding and planning phase and anticipate the nationwide roll out in the first quarter of 2010."
|
