BALTIMORE Papa Bello Enterprises Inc., operator and franchisor of about 20 Papa Bello Pizza restaurants, said Thursday it has signed a letter of intent to acquire the Kebab Café, a quick-service concept that specializes in Middle Eastern cuisine.
Terms of the deal were not disclosed. Papa Bello said that pending due diligence, it expected to close the acquisition on Oct. 31.
The Baltimore-based Papa Bello, which franchises many of its units in Walmart locations, said it planned to open 10 corporate Kebab Café stores in 2010, and to create a new franchising program for the chain. It also plans to develop Kebab Café stores for food court, airport and mall locations.
Currently, Kebab Cafe operates a flagship location in the Westfield Mall in La Jolla, Calif. It was created by and currently operated by two brothers, Sam and Jag Kambo. The concept specializes in Doner and Durum Kebabs and a small offering of “Truly Fresh and Delicious” food at what Papa Bello called a very reasonable price.
Jim Price, chief executive of Papa Bello, said acquiring Kebab Café is a “tremendous step in the evolution of [the company].”
“We see tremendous value in diversifying and adding new concepts that are different from our core brand,” he said. “We understand that regional tastes vary from state to state and the public demands variety.”