Freddy's Largest Franchisee Buys 43 More Stores
JRI Hospitality, already the largest franchisee of Freddy's Frozen Custard & Steakburgers, has acquired another 43 locations from HCI Hospitality. The deal expands JRI's portfolio to over 130 restaurants across 18 states, consolidating its position in the fast-casual space.
This acquisition solidifies a long-standing relationship with the Freddy's brand for Salina-based JRI Hospitality, which has been a franchisee since 2011. The deal also includes HCI's other restaurant holdings, JC's BBQ and Grill in Junction City, KS, and Powercat Sports Grill in Manhattan, KS. The seller, HCI Hospitality, was also an early adopter of the Freddy's brand, opening its first location in Junction City, Kansas, on July 14, 2010. HCI's founder, Dave Dreiling, will retain ownership of Booth Creek Wagyu, another brand within the former HCI portfolio. To ensure a smooth transition, HCI's CEO, Cam Blakely, will join JRI as the President of Operations for the Freddy's division. This move aims to integrate the two teams, both of which have a stated commitment to hospitality and quality. The deal is part of a larger trend of rapid growth for the Wichita-founded Freddy's brand, which opened a record 62 new restaurants in 2023 and surpassed 500 total locations. The company aims to reach 800 operating restaurants by 2026. Freddy's itself has seen major ownership changes in recent years. In 2021, the founding family sold the company to private equity firm Thompson Street Capital Partners. Subsequently, in September 2025, it was acquired by another global private equity firm, Rhône. JRI Hospitality, led by founder and CEO Jason Ingermanson, operates a diverse portfolio beyond Freddy's, including brands like Chompie's, Mokas Cafe, and The Original Grande. The company has a stated goal of expanding its reach with 20 new projects per year.
