D.C. and Dallas-based private equity firms invest in the booming Hawaiian-style food brand, with Savory and Mo’ Bettahs’ founders retaining significant minority ownership
Mo’ Bettahs Hawaiian Style Food, the category-defining fast casual concept serving up authentic Hawaiian plate lunch, today announced that Blue Marlin Partners and Trive Capital have partnered to acquire a majority stake from Savory Fund. Both Savory and Mo’ Bettahs’ founders will retain significant minority stakes.
Mo’ Bettahs was founded in 2008 in Bountiful, Utah, by Hawaii-born brothers Kimo and Kalani Mack. In 2017, it was acquired by Savory Fund, an innovative private equity firm that invests in emerging restaurant concepts. Together, they have scaled the award-winning brand from 6 stores to now 56 stores across seven states — all while delivering positive same-store sales growth year over year.
“Mo’ Bettahs is — and always will be — one of my favorite investments we’ve ever made because of the people,” said Andrew K. Smith, managing director of Savory Fund. “We love the culture that Kimo and Kalani Mack created 16 years ago, we love the food that they share as if you are in their own backyard in Hawaii, and we couldn’t be prouder of the partnership we’ve formed. Over the past seven years, they’ve become like brothers to us all, and we’re excited to welcome Blue Marlin Partners and Trive Capital into the Mo’ Bettahs ohana.”
Blue Marlin Partners, headquartered in Bethesda, MD, and Trive Capital, headquartered in Dallas, TX, are both leading private equity firms with investments in a variety of categories. Inspired by Mo’ Bettahs’ authentic menu, high-growth trajectory, and top-quality team, Blue Marlin and Trive Capital are both energized and uniquely positioned to support Mo’ Bettahs as it enters its next stage of growth.
“Mo’ Bettahs has established itself as the leader in the Hawaiian category, as well as one of the most exciting fast casual brands in the market with its high-quality food and authentic dining experience that harkens back to Kimo and Kalani’s days growing up in Hawaii,” said Peter Kirsch, founder and managing partner of Blue Marlin. “We are excited to build on the brand’s significant momentum and share the aloha with guests across the country.”
Chris Zugaro, partner at Trive, said: “Kimo, Kalani, and CEO Rob Ertmann have done an incredible job building and expanding the Mo’ Bettahs brand and delivering an authentic Hawaiian experience to their customers. We look forward to partnering with the Company to support its next phase of growth.”
“I’ve seen Mo’ Bettahs more than double in size during my time here, but thanks to good partners like Savory, the heart of the brand has always remained the same,” said Rob Ertmann, CEO of Mo’ Bettahs, who joined the brand in 2021 when it had 22 stores in two states. “I’m confident Blue Marlin and Trive will only add to that synergy, and our team can’t wait to get started on bringing authentic Hawaiian cuisine to more neighborhoods, friends, and families.”
Mo’ Bettahs has won awards and won over regulars since its founding 16 years ago. Over the last three years, its revenue has grown 178%, and its loyalty subscriber base has reached nearly 500,000 members.
“We never planned on owning a restaurant — let alone almost 60 of them. We were two city bus drivers from Hawaii who knew how to cook, how to eat, and how to work, but the way our lives have unfolded is beyond anything we could have imagined,” said Kimo and Kalani Mack, co-founders of Mo’ Bettahs. “We wouldn’t be here without our Savory partners, Andrew and Shauna Smith. They have been by our side at every step of growth, all while respecting and honoring our experience and heritage. We are honored to continue the journey with them as we welcome Blue Marlin and Trive to the Mo’ Bettahs’ fold. Their partnership will enable us to share good food and ‘spread da aloha’ across the mainland for years to come.”
Terms of the transaction were not disclosed. Harrington Park Advisors served as exclusive financial advisor to Mo’ Bettahs, and Mayer Brown served as legal advisor to Mo’ Bettahs and Savory Fund. Benesch served as legal advisor to Blue Marlin. Gibson Dunn served as legal advisor to Trive Capital.
Mo’ Bettahs was founded in Bountiful, Utah in 2008 by Kimo and Kalani Mack with a goal of providing guests with an authentic Hawaiian island barbeque experience, just like they enjoyed while growing up in Oahu, Hawaii. Since partnering with Savory Fund, Mo’ Bettahs has grown to 56 stores in Utah, Idaho, Oklahoma, Texas, Missouri, Nevada, and Kansas. Mo’ Bettahs has plans to spread the aloha spirit to more communities through continued expansion in the coming months and years. Mo’ Bettahs ranked #46 on Fast Casual’s “Top 100 Movers and Shakers” list in 2023. Mo’ Bettahs offers dine-in, takeout and catering. For more information, visit Mo’ Bettahs’ website or follow on Instagram, Facebook or Twitter.
Savory Fund is an innovative private equity firm that combines over $750 million in assets under management with a growth playbook and expertise that has been developed over 15 years of operating in the restaurant industry. Savory partners with high-potential, profitable, emerging restaurant brands to deliver financial capital, industry expertise, growth and revenue opportunities, profitability enhancements, and new location development. The Savory team contributes directly to all aspects of growth and replication by using a proven playbook and methodology. Founder involvement in the expansion of a brand is a central theme of the Savory approach as founders carry the tribal knowledge around the uniqueness that has energized early success and is essential to future growth. Savory is currently invested in 11 brands: Swig, R&R BBQ, PINCHO, Via 313 Pizzeria, Houston TX Hot Chicken, Mo’ Bettahs Hawaiian Style Food, 86 Repairs, Saigon Hustle, Hash Kitchen, The Sicilian Butcher, and South Block. For more information, visit SavoryFund.com.
Blue Marlin Partners is a private investment firm that invests in established middle market businesses looking to substantially grow and realize shareholder value. Blue Marlin was founded by Peter Kirsch with a select group of fully committed capital sources — including family offices and high net worth individuals — as a different type of private investment firm. Blue Marlin was formed to remove the traditional institutional constraints of private equity funds, thus enabling greater flexibility in terms of industry, deal structures and investment time horizons. Its investee partners have access to successful entrepreneurs, operators, investors and business leaders who are committed to applying the knowledge gained from their direct operational experience, financial resources, strategic support, networks, and sector-specific expertise, to help substantially grow businesses and realize shareholder value. To date, Blue Marlin has deployed over $750MM of capital across 29 platform investments along with strategic partners. For more information, visit BlueMarPartners.com.
Trive Capital is a Dallas, Texas-based private equity firm with more than $7 billion of regulatory assets under management. Trive focuses on investing equity and debt in what it sees as strategically viable middle-market companies with the potential for transformational upside through operational improvement. We seek to maximize returns through a hands-on partnership that calls for identifying and implementing value creation ideas. The Trive team is comprised of seasoned investment professionals who have been involved in over 250 middle-market transactions representing in excess of $7 billion in revenue across Trive’s targeted industry sectors and situations. For more information, visit TriveCapital.com.
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