Investment Firm Buys Tropical Smoothie Cafe

Los Angeles-based private equity firm Levine Leichtman Capital Partners announced that it has partnered with management to acquire Tropical Smoothie Cafe, a fast-casual franchisor with over 870 units across 44 states. Financial terms were not disclosed.

Atlanta-based Tropical Smoothie Cafe was founded in 1997 and is headquartered in Atlanta and will continue to be run by the existing executive team led by CEO Charles Watson.

“We are excited to partner with Charles and the rest of the management team who have led the tremendous growth of Tropical Smoothie Café,” said Matthew Frankel, managing partner of LLCP, “We look forward to working with them as they continue to increase system-wide sales, improve franchisee unit economics and expand unit count in the significant remaining whitespace.”

“My team and I are very excited to partner with LLCP as Tropical Smoothie Cafe seeks to enhance its market-leading position,” Watson said. “Having the opportunity to leverage LLCP’s extensive franchise expertise will be pivotal in driving further growth and supporting franchisees in inspiring better in our guests.”