Key Takeaways
- • Savory Fund closed its third fund, Savory III, at $201.5 million, above its original $200 million target, according to a Tuesday press release.
- • The fund plans to back eight or nine portfolio companies across restaurant segments, focusing on "profitable, emerging, founder-led restaurant concepts."
- • Savory III has already backed at least four companies, including Southblock, Bonrue Bakery, Hawkers Asian Street Food and Zao Asian Grill, and has deployed about 35% of its capital.
- • Savory's existing portfolio spans 13 brands with more than 400 units across 27 states, following earlier backing of Swig and Mo' Bettah's.
Summary
Savory Fund, a private equity firm, has closed its third fund, Savory III, at $201.5 million, surpassing its $200 million target, according to a Tuesday press release. The firm said the fund will help it identify new breakout restaurant brands and will ultimately be used to back eight or nine portfolio companies across restaurant segments, with a focus on "profitable, emerging, founder-led restaurant concepts." Managing director and co-founder Shauna K. Smith said the capital will go to operators with experience opening new concepts who want to scale without diluting brand identity.
The fund has already made at least four investments. According to the press release, Savory III invested in Southblock, an açaí and smoothie chain in the Washington, D.C., area; Bonrue Bakery, a Utah-based European bakery cafe brand; Hawkers Asian Street Food, a cocktails and small plates chain; and Zao Asian Grill, a Utah-area fast casual chain that has managed roughly 20% same-store sales growth. About 35% of the fund's capital has been deployed.
Savory's track record includes early backing of Swig, which grew from 17 units to 46 before the Larry Miller Company took a majority stake in 2022, and Mo' Bettah's, which grew from six to 56 locations before its acquisition by Blue Marlin Partners and Trive Capital in 2024. The firm currently reports a portfolio of 13 brands with more than 400 restaurant units across 27 states.
The raise reflects broader reliance on private equity to fund restaurant expansion. Freeman-Spogli acquired Philz Coffee in 2025, and Freddy's Frozen Custard & Steakburgers has grown since securing Rhône backing in 2025, reaching 600 units.
The fund has already made at least four investments. According to the press release, Savory III invested in Southblock, an açaí and smoothie chain in the Washington, D.C., area; Bonrue Bakery, a Utah-based European bakery cafe brand; Hawkers Asian Street Food, a cocktails and small plates chain; and Zao Asian Grill, a Utah-area fast casual chain that has managed roughly 20% same-store sales growth. About 35% of the fund's capital has been deployed.
Savory's track record includes early backing of Swig, which grew from 17 units to 46 before the Larry Miller Company took a majority stake in 2022, and Mo' Bettah's, which grew from six to 56 locations before its acquisition by Blue Marlin Partners and Trive Capital in 2024. The firm currently reports a portfolio of 13 brands with more than 400 restaurant units across 27 states.
The raise reflects broader reliance on private equity to fund restaurant expansion. Freeman-Spogli acquired Philz Coffee in 2025, and Freddy's Frozen Custard & Steakburgers has grown since securing Rhône backing in 2025, reaching 600 units.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.