Industry TRaffic Trends
Tomorrow @ 12:30, we are hosting a Restaurants & Consumer Staples Position Monitor update call ahead of the Q3 earnings reports. The 3Q/4Q earnings season setup is rough, with industry traffic slowing in 3Q22 while inflation remains elevated. Not a great combination to be long many names.
Instacart IPO
Instacart is trying to position itself as a different business model than DASH, but that will not help it go public in the current environment. Instacart is set to launch an initial public offering, even after the company slashed its own valuation by almost 40% to around $24 billion earlier this year. The WSJ thinks there is a downside to $13B.
BOWL
Bowlero Corp acquires new bowling centers in California and Wisconsin.
BOWL announced today that it has entered into definitive agreements to acquire four bowling centers - Strikes Unlimited in California, Super Bowl Family Entertainment Center, Sabre Lanes, and JB's on 41, located in Wisconsin. On the West Coast, Strikes Unlimited, Rocklin, CA, a suburb of Sacramento, will be the company's 45th location in the state. Strikes Unlimited is a 50-lane center with state-of-the-art technology, arcade games, an on-site pro shop, and home to the Halftime Bar and Grill. In Wisconsin, acquiring three centers will expand the company's footprint to five locations in the state. The first location, Super Bowl Family Entertainment Center, is in Appleton, WI, part of the Fox Cities Metropolitan Area. It is a 48-lane center featuring a wide selection of arcade games, blacklight bowling, leagues, and a sports bar and grill. The second Wisconsin center, Sabre Lanes in Menasha, WI, is five miles south of Super Bowl Family Entertainment Center. Sabre Lanes is home to 48 lanes of bowling, event spaces that accommodate 30-300 guests, a full kitchen, and multiple bars located throughout the center. The third location in Wisconsin, JB's on 41, is in Milwaukee, minutes away from downtown. JB's on 41 is a premier location, both nationally and locally ranked. With ten private luxury suites, 35 modern bowling lanes, 40 arcade games, and much more, this location is a top entertainment destination in the area.
The completion of the four acquisitions is expected by the end of October.
