Drive-thru coffee chain 7 Brew is officially buying 63 former Salad and Go locations. A Texas bankruptcy court approved the sale on Sept. 29 – National Coffee Day.
According to bankruptcy court documents, Brew Culture LLC, 7 Brew’s parent company, agreed to pay almost $123.5 million for the locations, 36 of which are in Arizona, including six in Tucson. The sale is expected to close Oct. 15.
The purchase comes after Salad and Go filed for Chapter 11 bankruptcy on Aug. 4 and closed more than 50 locations across Arizona and Nevada on Aug. 6.
The closures sparked a bidding war for the abandoned properties, with 7 Brew and Dutch Bros Coffee competing for the locations. 7 Brew ultimately outbid its competitor by more than $15 million.
Founded in Arkansas, 7 Brew is a drive-thru coffee company that was purchased by an entrepreneurial group in 2020. The company has since expanded rapidly. 7 Brew currently has more than 700 locations across 38 states.
Salad and Go was a drive-thru restaurant chain founded in Gilbert, Ariz., in 2013. It was known for salads and other health-focused meals.
The 63 locations purchased by 7 Brew are only part of Salad and Go's former footprint. About 50 locations were not included in the deal, and other companies are competing to acquire those properties.
According to bankruptcy court documents obtained by KTAR News, Utah-based soda chain Swig is seeking to purchase the remaining eight Arizona locations for $5.4 million.
