Mod Pizza, which it was reported was facing bankruptcy last week, has just been acquired by Elite Restaurant Group.
Regardless of whether the chain chooses to file for bankruptcy or not, changes are coming to the nationwide pizza chain.
Mod Had Been Considering Bankruptcy
Reports released last week had said that Mod Pizza’s leadership had been considering bankruptcy as a solution to their financial woes.
Since the start of the year, the chain has closed dozens of its 500-plus locations.
Inappropriate to Speculate
Amid bankruptcy reports last week, the ownership released a statement urging people not to speculate on their next move.
They had been looking at a range of options and said, in a statement, referring to bankruptcy reports, that it would be “inappropriate to speculate about an outcome.”
Seattle-Born
The chain grew out of Seattle, where it was founded in 2008.
The chain now boasts over 500 locations across 28 states, including over 100 locations in Texas and 46 in California.
Plan for Turnaround
Throughout this difficult period, Mod Pizza have always insisted that they were making strategic efforts to continue their business.
A spokesperson wrote, in a statement: “We have a brand guests love, a passionate team, and a solid turnaround plan underway that is making progress.”
Elite Acquisition
Their potential for a bankruptcy filing may have been averted by their acquisition by Elite Restaurant Group, Inc.
The transaction details have meant that Elite Restaurant Group will have a reported 100% of the equity share of Mod Pizza.
Who Are Elite Restaurant Group?
Elite Restaurant Group Incorporated are a registered Stock Corporation in the state of California.
They have been reported in the past as having bought out struggling businesses such as Project Pie, which they rapidly rebranded as Patxi’s Pizza.
Leadership Shake-ups at Mod
Mod Pizza, this year, have undergone a series of leadership shake-ups.
They appointed a new CEO, Beth Scott, in January this year then followed that up by appointing Jennifer Anderson as CMO.
Lingering Strengths of Mod Brand
Elite Restaurant Group are hoping to take advantage of the remaining value left in the Mod Pizza brand, with the Elite restaurant Group president, Michael Nakhleh, saying that they “look forward to helping MOD write the next chapter in its history.”
He says, “MOD has an outstanding culture and passionate, loyal guests and employees.”
Mod Fall From Grace
The bankruptcy rumors, closed stores and takeover represent a fall from grace for the once thriving pizza brand.
In 2019, it received equity financing of $160 million dollars and was one of the fastest growing pizza chains in the US for 2 years running.
