Houston’s iconic Shipley Do-Nuts franchise has been sold to Levine Leichtman Capital Partners following record-setting growth under Peak Rock Capital.
HOUSTON — Shipley Do-Nuts, one of Houston’s most beloved homegrown brands, has a new owner.
An affiliate of Peak Rock Capital announced Monday it has sold Shipley Do-Nuts to Levine Leichtman Capital Partners (LLCP), marking a new chapter for the nearly 90-year-old company known for its fresh, made-in-house donuts, kolaches and coffee.
Founded in 1936 and based in Houston, Shipley has grown into one of the nation’s largest donut franchises, with more than 375 stores operating across 14 states. The company more than doubled systemwide sales during Peak Rock’s ownership and experienced 18 consecutive quarters of same-store sales growth, according to a news release.
During Peak Rock’s stewardship, Shipley expanded into new markets, launched a marketing cooperative with franchisees, developed new products and opened a new corporate headquarters and R&D lab.
“We are proud of the success Shipley has achieved during our ownership and honored to have contributed to the evolution of this iconic brand,” said Robert Strauss, senior managing director at Peak Rock. “Our investments in people, processes and technology have propelled Shipley to achieve transformational growth.”
Shipley CEO Flynn Dekker said the partnership with Peak Rock was key to unlocking the brand’s momentum.
“We are committed to supporting our franchisees’ businesses and serving our customers the world’s greatest donut as we continue to introduce our iconic brand to more and more communities across the nation,” Dekker said.
Shipley has long held a special place in Houston’s food culture, serving up its signature treats to generations of fans. The sale to LLCP marks another milestone in the company’s transformation from a family-owned Texas institution into a nationally recognized franchise operation.
While financial terms of the deal were not disclosed, Peak Rock says the transaction is part of its track record of partnering with family and founder-led businesses to achieve “transformational outcomes.”