Several years back, well before the pandemic, Chuck E. Cheeses had bought Peter Piper Pizza, further bolstering their position as the largest chain of arcade entertainment in the world. While today’s news won’t make Dave & Busters the largest, it certainly fortifies their position on the market.
H/T to Jdevy for this one; As the headline states, news broke this morning that Dave & Busters will be purchasing the chain of FECs called Main Event for $835 million. The sale will complete by the end of the year and Main Event’s current CEO (Chris Morris) will become CEO of the new company.
Dave & Buster’s expects the acquisition to add to both earnings and growth, and to achieve cost synergies of $20 million within the first two years.
At present, Dave & Busters has 146 locations while Main Event has 49 (I hand counted those from the locations pages so I might be off by one or two); Both locations have quite a presence in Texas already since they both got their start there. per a quote from the article, “Main Event targets a different demographic, families with younger children, while Dave & Buster’s has primarily targeted young adults.”
I did reach out to someone I know at D&B to ask for a comment but it was rather late int he day when I heard this so there’s nothing to add of press time here. It sounds like they will continue to keep the names and focus of each division where it is, although I do wonder how that will affect game purchases. While D&B has paused some of their game development efforts due to the pandemic, eventually that’s the kind of thing that will pick up again and so it could result in seeing some of those future D&B exclusives, whether timed or permanent, finding their way to Main Event as well.
Do you have any thoughts on this news?