Sat 8th Nov 2025 - Five Guys seeking new investment with stake sale Five Guys seeking new investment with stake sale: Sir Charles Dunstone is seeking new investors to take a significant stake in Five Guys Europe, the better burger brand he launched in Britain more than a decade ago. Sky News reports that Dunstone’s investment vehicle, Freston Ventures, has retained investment bankers at Goldman Sachs to identify a buyer for a chunk of the burger chain, which employs about 6,000 people in the UK. This weekend, City sources said a stake of up to 50% in Five Guys Europe was likely to be made available to bidders, although all options are expected to be considered. Teaser documents have been circulated by Goldman Sachs to potential bidders in recent weeks, with large buyout firms said to be among those interested. One insider said that based on its projected earnings, the entirety of Five Guys Europe could be worth in the region of £600m. The investment process has been facilitated by a deal that Dunstone is understood to have reached to acquire the 50% stake in Five Guys Europe owned by the Murrell family, which established the business in Arlington, Virginia, in 1986. Under that deal, Five Guys Europe will pay a royalty fee to the US brand-owner for its future use. Dunstone brought the business to Britain in 2013 after striking a deal with the Murrell family following a family holiday in New York. Its first UK site opened in Covent Garden, central London, before hitting 100 outlets six years later. The chain now trades from close to 300 stores in the European territories in which it operates, which include France, Germany and Spain. In the UK, it has 177 outlets, while including the US business, it boasts more than 2,000 stores across 26 countries. Five Guys Europe recently completed a £185m debt refinancing, which placed its borrowings on a longer-term footing amid the challenging climate for restaurant operators. Last month, the company reported a drop in Ebitda in the year to 31 December 2024, while its pre-tax losses widened to more than £36m, as it said its performance was impacted by a “reduction in consumer confidence”, inflation and “political instability”. The business, which at the end of the period operated 281 sites across the UK, France, Spain and Germany, reported turnover £560,022,000 for the year (2023: £542,915,000), with Ebitda plus pre-opening costs of £58m (2023: £61.3m) and operating profit of £29.1m (2023: £45.5m). The company, which opened 28 sites in the year and closed three, saw its pre-tax loss widen from £16,217,000 in 2023 to £36,721,000 last year. Turnover across its UK business for the year stood at £320,808,000 (2023: £316,422,000). Five Guys features in the Premium Club Turnover & Profits Blue Book, which is available exclusively to Premium Club subscribers and features 1,177 companies. Five Guys’ turnover of £316,433,000 is the 43rd highest in the database. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. The single subscription rate is £495 plus VAT for operators and £595 plus VAT for suppliers. Email kai.kirkman@propelinfo.com to upgrade your subscription.