Yoshinoya Buys Majority Stake in Kizuki Ramen for $28.7 Million
Yoshinoya invests $28.7 million for majority stake in Kizuki Ramen, signaling growth in U.S. ramen market.
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Yoshinoya Holdings is acquiring a 70 percent stake in Kizuki Ramen & Izakaya for $28.7 million. Kizuki, which operates 17 units primarily on the West Coast and in Texas, generated approximately $37.2 million in revenue in 2025. The deal reflects Yoshinoya's strategy to expand its footprint in the U.S. ramen market as they aim to become the world's largest ramen provider by servings by fiscal 2034.
Why It Matters
This acquisition may enhance unit economics and operational capabilities for Kizuki, indicating potential growth opportunities for franchisees in the ramen sector as the brand scales.
Yoshinoya Holdings has announced its acquisition of a 70 percent stake in Kizuki Ramen & Izakaya for $28.7 million through its U.S. branch, Yoshinoya US Holdings. The deal includes provisions for potential earn-out payments linked to Kizuki's performance through 2029, and approximately $7.5 million of the purchase price will be settled with Yoshinoya shares, while the remainder will be in cash. The transaction is subject to customary closing conditions.
This strategic acquisition marks Yoshinoya's significant investment in the rapidly growing U.S. ramen sector, which aligns with its long-term objective of becoming the world's leading ramen provider by servings by fiscal 2034. Kizuki Ramen, founded in 2012 by Yi-Chen (Brandon) Ting, operates 17 locations primarily along the West Coast and in Texas, supplemented by three production facilities across Seattle, Texas, and San Francisco. The brand reported revenues of approximately $37.2 million for 2025, with an operating income of about $1.9 million, indicating a recovery in profitability after an operating loss in 2022.
Post-acquisition, Ting will maintain his role as CEO, and Kizuki will continue to operate under its established brand, ensuring continuity for franchisees and maintaining its current royalty structure. This is expected to minimize disruptions for existing franchise operators. Yoshinoya's recent investor filing highlighted Kizuki's U.S.-centric menu development and scalable operations, portraying these as key assets to facilitate long-term growth and expansion.
