Domino’s Pizza Enterprises Announces to Acquire Hallo Pizza in Germany

DPEDPE today announces that Domino’s Pizza Deutschland GmbH and Daytona Germany GmbH (together, ‘Domino’s Pizza Deutschland’) have executed a sale and purchase agreement with the owner of Hallo Pizza, Mr Axel Fassbach, to acquire the Hallo Pizza chain of pizza stores in Germany for €32 million on a cash and debt free basis.

Hallo Pizza is the largest independent pizza chain in Germany with a comprehensive national footprint of 170 stores throughout Germany. The business also includes a whollyowned procurement and logistics business, Chrisa, which operates 3 commissaries across Germany. Hallo Pizza generated network sales of €80.2 million and normalised earnings before interest, tax, depreciation and amortisation (‘EBITDA’) of €3.5 million for FY16.

The acquisition will strengthen Domino’s Pizza Deutschland’s leading position and increase the Domino’s store count in Germany from 209 to approximately 300 – 3404 following brand conversions. Existing Hallo Pizza stores will be operated on a transitional basis until franchise contracts are converted to Domino’s.

The transaction is also expected to improve the profitability of former Hallo Pizza stores and existing Domino’s stores for both franchisor and franchisees as stores are converted to Domino’s and national advertising campaigns, social media initiatives and IT innovations are leveraged over the larger store network.

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