RaceTrac acquires Potbelly for $566 million
- RaceTrac has entered a definitive merger agreement to acquire Potbelly for approximately $566 million in cash.
- The acquisition involves a tender offer of $17.12 per share for all Potbelly outstanding shares.
- This merger is expected to strengthen both companies' market presence and enhance their customer experience.
On September 10, 2025, in the United States, RaceTrac convenience store company announced its acquisition of Potbelly sandwich shop company for approximately $566 million in cash. The agreement involves RaceTrac making a tender offer for all outstanding shares of Potbelly at a price of $17.12 per share. The acquisition is expected to close later in the year, pending the completion of regulatory approvals and customary closing conditions. This significant merger aligns with the strategic vision of RaceTrac, which emphasizes a commitment to quality and enhancing customer experiences. Both companies have established themselves over the past 130 years as providers of welcoming services and enjoyable environments for their guests. The acquisition reflects RaceTrac's intent to expand its family of convenience-driven brands and integrate Potbelly's operations into its business model. Bob Wright, the President and CEO of Potbelly, expressed optimism about the merger, highlighting the alignment of both companies' missions and the value it brings to Potbelly shareholders. Potbelly, known for its more than 445 shops across the country, including over a hundred franchised locations, has focused on franchise-led growth in recent years. The merger is expected to accelerate this growth and unlock new opportunities while maintaining Potbelly's commitment to providing a neighborhood sandwich shop experience. Natalie Morhous, RaceTrac's CEO and Chairperson of the Board, welcomed Potbelly's franchise partners and team members, indicating a strong commitment to further enhancing customer engagement through the combined resources of the two companies. The merger represents a broader trend in the retail and quick-service restaurant industries where companies are increasingly looking to consolidate resources and streamline operations in order to compete effectively in a rapidly changing market landscape. With this acquisition, RaceTrac aims to bolster its presence and provide diverse food offerings while continuing to uphold the traditional values that make Potbelly a beloved brand in its communities.