PHOENIX — A popular Phoenix-based restaurant group is getting a new owner.
The company will also acquire the remaining interest in North Italia.
The Cheesecake Factory will fork over $308 million in cash when the deal is closed, and an additional $45 million will be paid over the next four years.
The company's board of directors has already unanimously approved the transactions. The purchase is expected to close by the end of September.
The Cheesecake Factory has already invested $88 million into North Italia and Flower Child in anticipation of this purchase.
The company announced in a press release that it has "helped fuel the growth of both brands, but also developed a deep relationship" with founder and CEO Sam Fox since it began investing in North Italia and Flower Child in 2016.
"It became evident that the combination of two of the most experiential and entrepreneurial restaurant companies could drive greater value as one organization," Cheesecake Factory CEO David Overton said in the release.
“In turn, we have decided to bring together North Italia and Fox Restaurant Concepts, including Flower Child, with The Cheesecake Factory to reinforce our leadership position in experiential dining," Overton continued.
"With the power of The Cheesecake Factory brand, infrastructure and growth potential, complemented by an additional growth vehicle in the North Italia concept and an incubation engine to develop concepts of the future, we believe we will be even better positioned to provide our guests with exceptional dining experiences, offer growth opportunities for our respective teams and maximize long-term value for our shareholders."
Sam Fox said in a press release that the partnership will be the "first of its kind for the restaurant industry.
"With our aligned cultures and philosophies, The Cheesecake Factory is the right partner to embrace our creative spirit, enabling us to innovate concepts, while providing the infrastructure and capital to scale," he added.
Once the purchase is complete, North Italia's operations will be based out of the company's corporate headquarters in Calabasas Hills "to help scale the concept nationally."
Fox Restaurant Concepts will continue to be led by Fox out of its Phoenix headquarters.