RADNOR, PA — NewSpring, an influential family of private equity strategies, has announced a significant investment in Shake Smart Holdings, LLC through its NewSpring Franchise strategy. This investment is poised to propel Shake Smart, a leading purveyor of nutritious fast-casual fare, into a new phase of aggressive growth.
Shake Smart, established in 2011 by Co-Founder and CEO Kevin Gelfand, has carved out a niche in the fast-casual industry by offering an array of healthy options such as protein shakes, smoothies, acai bowls, and nutrient-packed snacks. With a footprint primarily on college campuses, Shake Smart taps into a demographic keen on maintaining a healthy lifestyle amidst busy schedules. The infusion of capital from NewSpring Franchise is earmarked for expanding Shake Smart’s presence both within academia and broader markets, responding to the surging demand for convenient, wholesome food choices.
Kevin Gelfand expressed enthusiasm about the partnership with NewSpring Franchise, highlighting the alignment of visions in scaling the Shake Smart brand. “Our team has successfully grown the concept to over 45 locations across the U.S.,” Gelfand noted, emphasizing the goal to expedite unit openings with the support of NewSpring’s investment and operational expertise.
Satya Ponnuru, NewSpring General Partner, lauded Shake Smart as a standout in the burgeoning healthy fast-casual segment, praising its unique product offerings and solid brand identity. “It represents exactly the type of company we seek to apply our proven approach to building multi-unit brands,” Ponnuru stated. The partnership aims to leverage NewSpring’s resources, networks, and industry knowledge to fuel Shake Smart’s national expansion, enhancing its operational capabilities and market reach.
This transaction marks the third investment from NSF II, NewSpring Franchise’s dedicated fund, which targets consumer-facing, multi-unit businesses demonstrating capital efficiency, robust unit-level economics, and strong management teams in the lower-middle market. NewSpring’s portfolio also includes notable names like Blo Blow Dry Bar, Duck Donuts, and Central Bark, showcasing its strategic focus on companies with compelling customer value propositions.
Following the deal, the Shake Smart executive team, led by CEO Kevin Gelfand, will continue to steer the company’s operations, with NewSpring’s Satya Ponnuru and Patrick Sugrue joining the Board of Directors. The transaction was supported by mezzanine debt financing and equity co-investment from Tecum Capital and NorthCoast Mezzanine, with legal advisement provided by Miller & Martin PLLC for NewSpring and Brookwood Associates and Davis Wright Tremaine LLP for Shake Smart management.
As Shake Smart embarks on this accelerated growth journey, its partnership with NewSpring Franchise not only highlights the potential within the healthy fast-casual sector but also sets the stage for the brand to become a dominant player in the rapidly evolving landscape of convenient, nutritious dining.
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