Wingstop UK Sold to Sixth Street in Landmark £400M Deal
Posted by Emma on 5th Jan 2025
The UK arm of Wingstop, the popular fast-casual chicken wing chain, has been acquired by US investment firm Sixth Street in a deal valued at over £400 million. The sale marks a significant milestone for the brand as it looks to accelerate its growth across the UK and Ireland.
Lemon Pepper Holdings, the master franchisee for Wingstop in the region, confirmed the sale surpasses earlier reported estimates. The chain entered the UK market in 2018 with a London debut and has since expanded to 57 locations, creating over 2,500 jobs.
3HeadedMonster, CC BY-SA 2.5, via Wikimedia Commons
The acquisition comes amid a growing appetite for fried chicken in the UK, with competitors like Popeyes and Dave’s Hot Chicken also planning aggressive expansions. Wingstop targets 200 restaurants within the next five years, projecting revenue to exceed £150 million by the end of the current year. In the financial year ending March 2024, the franchise turned a £3.5 million pre-tax profit, a sharp recovery from a £2 million loss in the previous year.
Industry Leaders Express Optimism
Chris Sherriff, Chief Executive of Wingstop UK, highlighted the significance of the deal:
“This is a major step in our journey as we build the pre-eminent fast-casual restaurant brand in the UK and Ireland. 2025 is shaping up to be another landmark year, and our focus remains on growing sustainably with the agility to seize the right opportunities as they arise.”
Sixth Street, which owns Wingstop’s Far West Services franchise in the US, is known for investing in prominent brands such as Airbnb, Spotify, and Real Madrid. Kayvan Heravi, Co-Head of Consumer at Sixth Street, expressed optimism about the potential for Wingstop’s growth:
“We believe that the global opportunity for the brand, and in the UK and Ireland, is only just beginning.”
Strategic Retention and Global Footprint
While Lemon Pepper Holdings has relinquished majority ownership, founders Tom Grogan, Herman Sahota, and Saul Lewin will retain a minority stake, ensuring brand leadership continuity.
Wingstop, founded in Dallas, Texas 1994, now operates more than 1,500 locations worldwide through a mix of company-owned and franchised outlets. Its UK presence has contributed significantly to its global success story, with the Sixth Street acquisition poised to drive further expansion.
Advisory Teams Behind the Deal
The sale involved a team of high-profile advisors. Goldman Sachs International acted as the sole financial advisor to Wingstop UK, alongside DLA Piper, KPMG, Jamieson, OC&C, and HNH. Sixth Street received counsel from North Point, Lazard & Co., Cleary Gottlieb Steen & Hamilton LLP, and PwC.
As the demand for premium fast-casual dining continues to grow, Wingstop’s ambitious expansion plans signal a bright future for the chain in the UK and beyond.