This article was displayed on the ChosunBiz MoneyMove (MM) site at 3:31 p.m. on Aug. 4, 2026.
Private equity fund (PEF) manager KL&Partners is speeding up the sale of Mom's Touch. Citi Group Global Markets Securities, the sale manager, recently distributed an information memorandum (IM) to potential buyers, according to confirmation. The schedule has not been finalized, but a preliminary bid could take place as early as the end of this month.
According to the investment banking (IB) industry on the 4th, Citi Securities recently sent an IM related to the Mom's Touch sale to a pool of domestic and overseas strategic investors (SI) and financial investors (FI). Potential buyers are expected to review Mom's Touch's performance, franchise structure, and overseas business plans contained in the IM and then decide whether to participate in the preliminary bid.
The sellers are considering receiving preliminary bids at the end of this month. However, the timing of the bid may be adjusted depending on internal review.
The asset for sale is 100% equity in Mom's Touch held by KL&Partners through the special purpose company (SPC) Korea F&B Holdings. KL&Partners distributed a request for proposal (RFP) in April to select the sale manager and then chose Citi Securities as the manager in May. Yoon & Yang LLC is providing legal advice, and Samjong KPMG is providing accounting advice.
As of the end of last year, Mom's Touch had the most stores among domestic hamburger franchises. Led by its signature menu, the Thigh Burger, it expanded the market by emphasizing relatively low prices and large portion sizes.
KL&Partners acquired 56.8% equity from founder Chair Jeong Hyun-sik in 2019 for about 193.7 billion won, invested about 120 billion won more in 2022 to raise its stake to over 95%, and then carried out a voluntary delisting. It then sought a sale the same year, but the deal fell through after it failed to find a buyer due to a price gap.
A favorable factor for the enterprise value (EV) assessment in this sale is improved performance after the acquisition. On a consolidation basis last year, revenue and operating profit were 479 billion won and 89.7 billion won, respectively, and earnings before interest, taxes, depreciation and amortization (EBITDA) was 103.1 billion won. That is more than four times the EBITDA (23.7 billion won) at the time of the 2019 acquisition. With a franchise-centered business structure, the headquarters bears relatively little store investment, and its stable cash generation is cited as a strength in the sale process.
Before the sale, KL&Partners returned about 1.7 times the initial investment to limited partners (LPs) through a recapitalization. The internal rate of return (IRR) has been raised to the mid-20% range. From KL&Partners' standpoint, conditions are in place to negotiate with buyers at a reasonable level without rushing the sale.
In the industry, the sellers' minimum asking price is 1 trillion won. Applying a 10x EV/EBITDA multiple yields the low-1-trillion-won range. Given that overseas F&B franchise valuation multiples are around 13–15x, some think it could be valued higher. However, considering the characteristics of the domestic dining-out market, a more cautious view is that it will be priced lower, due to concerns that the domestic market may shrink in the long term.
Even so, overseas scalability is seen as a factor that could lift enterprise value in this sale. While the domestic dining franchise market has entered a mature stage, expanding overseas franchises can secure additional royalties and food material distribution revenue.
Starting with Thailand in 2022, Mom's Touch expanded into Mongolia, Laos, and Uzbekistan under a master franchise (MF) model. After opening its first directly operated store in Shibuya, Tokyo, in 2024, it has increased to five stores, one of which is a franchise. Last month, it also signed an MF agreement with "FairPrice Group," Singapore's largest retail corporation, to enter the local market.