KKR to acquire Nothing Bundt Cakes for over $2 billion, source says

March 25 (Reuters) - U.S. private equity firm KKR KKR.N has struck a deal to acquire bakery chain Nothing Bundt Cakes from Roark Capital for over $2 billion, including debt, a source familiar with the matter told Reuters on Wednesday.

• The bakery was launched in 1997 and sells hand-crafted bundt cakes in a variety of flavors and sizes. It was acquired by Roark in 2021.

• Roark was running a sale process for the bakery chain with investment banks North Point and Bank of America, Reuters reported last year.

• Nothing Bundt Cakes, which operates more than 500 bakeries across the U.S. and Canada, expects to generate around $120 million in earnings before interest, taxes, depreciation and amortization this year, Reuters previously reported.

• The deal follows Atlanta, Georgia-based Roark's acquisitions of Dave's Hot Chicken last year and Subway in 2023.

• The deal was first reported by the Wall Street Journal.

• KKR declined to comment and Roark did not immediately respond to a Reuters request for comment.