The company was sold for slightly more than => 10X EBITDA

Which is a…. Very High Multiple


BWLD just reported “Negative SSS” for their 3rd quarter

BWLD’s same store sales decreased -2.30% year over year -&- franchises fell -3.20% percent  / year over year

They have been “Buying Foot Traffic” w/ negative gross margin promos so increase Tuesday foot traffic

And … Importantly

NFL viewership is in the Toilet …

NFL is an absolute foot traffic driver to its core business => Sports Fans

In comparison to => BBRG

BWLD boxes only average $2.2MM in sales per/location  ..vs..

BBRG who averages restaurant unit sales average “$3.6MM” per/location

BBRG’s restaurants “on average” generate =>  +63.00% more revenues per/box than BWLD


The while they are two different restaurant concepts….

They both basically operate out of the same size restaurant footprint =>  5,500 – 6,000 square / foot box

So applying a 10X EBITDA multiple … Which was todays BWLD deal multiple

BBRG’s 2018 EBITDA estimates of => $25MM Ebitda

That’s a “potential” deal vlaue on BBRG of ==> $250MM in Comparative Value

Back Out  ==>    -$37MM in DEBT

That would leave ==>  $213MM in potential equity value for Shareholders

BBRG has 15.30MM Shares Outstanding

$213MM in potential value /  15.30MM Shares Outstanding 

So …  

BBRG would be valued at => $13.92 a share  @  Comparable 10X EBITDA multiple  

Very Important to NOTE:

BWLD has a “Long History” of Food Safety Issues -&- especially: Noro-Virus Outbreaks, Hospital Visits -&- Deaths

Yes … I said “DEATHS”

Food Service / Quality Issues -&- Health Concerns are “RED FLAGS”==> And an Absolute =>  NO-NO