Oversubscribed Fund III attracts returning investors and major financial institutions, with 35% of capital already invested in four emerging restaurant brands.

SALT LAKE CITY, Utah — Savory Fund has closed its third private equity fund at $201.5 million, exceeding its $200 million fundraising target. It positions the firm to accelerate the growth of promising restaurant brands across the United States.

Returning limited partners and new institutional investors, including major financial institutions, supported the oversubscribed fund.

Fund management is focusing on identifying profitable, founder-led businesses with significant expansion potential.

Savory has already deployed about 35% of the fund’s capital across four restaurant concepts. It will ultimately invest in eight to nine restaurant companies spanning quick-service, fast-casual, and casual dining segments.

Savory Fund Provides More than an Equity Investment

Founded in 2018, Savory has built a private equity investment model that combines financial capital with hands-on restaurant operating expertise.

Savory offers portfolio companies operational infrastructure, restaurant development capabilities, marketing expertise, and strategies to improve revenue and profitability. Traditional investors primarily provide only financing.

“Raising a fund is a vote of confidence, and our investors voted loudly,” said Andrew K. Smith, co-founder and Managing Director of Savory Fund.

Smith emphasized that most Fund III investors previously participated in Savory’s first or second funds, demonstrating continued confidence in its investment strategy.

The firm’s operating platform, led by CEO Clay Dover, helps restaurant entrepreneurs expand without sacrificing the distinctive qualities that originally attracted customers.

Four Restaurant Brands Already Receiving Investment

South Block: A health-focused açai and smoothie concept expanding beyond its Washington, D.C., home market into new regions.

Bonrue Bakery: A European-style bakery with a loyal Utah customer base with opportunities to expand more broadly.

Hawkers Asian Street Food: A Michelin Guide-recommended restaurant concept recognized for strong average unit volumes and frequent customer visits, and

Zao Asian Grill: A fast-casual Asian restaurant brand reporting nearly 20% same-store sales growth.

These investments show Savory’s interest in differentiated restaurant concepts with established customer demand and the potential to expand into additional markets.

Success With Swig and Mo’ Bettahs Demonstrates Savory’s Growth Strategy

Savory’s investment history includes substantial expansion of two restaurant brands.

Under its partnership, Swig grew from 17 to 46 locations before Savory sold a majority stake to The Larry H. Miller Company in 2022.

Similarly, Hawaiian-style restaurant chain Mo’ Bettahs expanded from six to 56 locations before Savory sold a majority stake to Blue Marlin Partners and Trive Capital in 2024.

Savory retained minority ownership positions in both businesses, with Andrew K. Smith continuing to serve on their boards.

Today, the investment firm reports more than $750 million in assets under management and a portfolio spanning 13 restaurant brands, more than 400 restaurant locations, and 27 states.

Supporting Restaurant Entrepreneurs Beyond Capital

Savory’s investment approach addresses portfolio company challenges through experienced operators who understand restaurant development.

“Capital is the part of our business that’s easiest to explain, but it isn’t what sets Savory apart,” said Shauna K. Smith, co-founder and Managing Director.

Smith emphasized that Savory’s value lies in the operational expertise supporting its investments, enabling founders to pursue expansion while preserving their brands’ original appeal.