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The Flynn Group, a prominent multi-brand franchise operator, has significantly expanded its Wendy’s footprint by acquiring 83 restaurants in New Jersey and Pennsylvania. This acquisition brings the company’s total Wendy’s holdings to 277 locations, making it one of the largest Wendy’s franchisees in the United States. With this latest purchase, the Flynn Group now owns nearly 5% of Wendy’s U.S. locations, according to Reuters.
The Ohio-based Wendy’s chain operates approximately 6,200 restaurants in the U.S. and over 7,200 worldwide, according to data from Statista. The Flynn Group, meanwhile, oversees more than 2,900 franchise locations across multiple brands, employs over 75,000 people, and generates more than $5 billion in annual sales.
A Multi-Brand Powerhouse
As the largest franchise operator in the world, the Flynn Group’s portfolio spans several well-known brands, including Applebee’s, Taco Bell, Arby’s, Panera Bread, Pizza Hut, and Planet Fitness. The company entered the Wendy’s system in 2021 after acquiring 194 units from the bankrupt franchisee NPC International. That $552.6 million transaction also included the purchase of 937 Pizza Huts, as reported by QSR Magazine.
Initially, Wendy’s corporate leadership was hesitant to partner with the Flynn Group due to its ownership of competing brands like Arby’s and Panera Bread. However, Flynn says the company’s stance has shifted significantly. “It went from a stiff arm — to keep us out of their system — to an embrace, now that they’ve realized we’re the kind of franchisee they’d like to see grow in the system,” Flynn shared with Reuters.
The Flynn Group has not disclosed the seller or purchase price of the 83 Wendy’s restaurants, though Restaurant Business speculated that the acquisition may have involved The Briad Group, a major Wendy’s operator in New Jersey and Pennsylvania.
Expanding Wendy’s Presence
This purchase aligns with the Flynn Group’s strategic pivot toward increasing its presence in the quick-service restaurant (QSR) sector. “Wendy’s is a wonderful brand. We’re excited to grow specifically with Wendy’s,” Flynn told Restaurant Business. The group plans to open six additional Wendy’s locations in the U.S. this year.
International expansion is also a key focus. In 2023, the Flynn Group became Wendy’s sole franchisee in Australia through a master franchise agreement. The plan includes the development of 200 Wendy’s locations in Australia over the next decade, with the first set to open by the end of 2024. The Flynn Group also acquired Wendy’s operations in New Zealand earlier this year, with plans for further development in the region.
Despite a 2% decline in Wendy’s U.S. customer traffic during the second quarter, Flynn remains optimistic about the brand’s performance. “For us, sales and profit have held up quite well,” he told Restaurant Business.
Flynn Group Denies Sale Rumors
Earlier this year, rumors circulated that the this Group was exploring the sale of some of its holdings. However, they quickly dismissed these claims. “Just for the record, I’m not selling, and we’re not going anywhere,” he said at the 2024 International Franchise Association Convention, as reported by Franchise Times.
With this latest acquisition, the Flynn Group continues to solidify its position as a major player in the franchising world, leveraging its scale and expertise to grow its diverse portfolio of brands.
