Niche fast-food concept based Checkers Drive-In Restaurants has rallied during the pandemic, a performance that paid off in a recent announcement of a $20 million capital injection.
The investment, from Oak Hill Capital Partners IV, which owns the burger chain, will be used to fund an aggressive five-year growth plan at Checkers & Rally's drive-thru restaurants, according to a statement. Oak Hill acquired Checkers from Sentinel Capital Partners in 2017 for $525 million.
The company’s model, with closed kitchens, double drive-thrus, and a dedicated ecommerce pick up lane, is in some ways built for the changes precipitated by the pandemic. Company and franchised restaurants recorded high single digit same-store-sales in 2020, according to the statement. The brand also approved 40 new franchisees last year and has 72 new locations in the development pipeline, the company adds.
"I am tremendously proud of the work accomplished by our Checkers & Rally's family last year, including our management team, our restaurant support center, our franchisees and operators and especially our hardworking general managers and crew members who showed up every day despite the challenges of COVID-19 to serve our guests and our communities," says Checkers President and CEO Frances Allen, who unveiled the company's aggressive growth plans at the 2021 ICR Conference in early January.