One day back in 2007, Neal Aronson picked up the phone and called Mike Hislop, chief executive of Corner Bakery Cafe. Aronson, an Atlanta private equity manager, wanted to introduce himself and convey his admiration to Hislop, who was competing against the much larger Panera Bread.
It took four years, but the men now are business partners, thanks to Roark’s purchase this week of Corner Bakery.
Patience is the name of the game at Roark Capital Group, the Atlanta-based private equity firm that made national news this week with its planned acquisition of Arby’s. Roark often tends its relationships with entrepreneurs for years before making a deal. It has held some of its investments for a decade. It has bought 30 companies and sold only a handful. It uses less debt than a typical private equity outfit.
As Roark and its 38 staffers tackle one of their biggest challenges yet — helping the 3,600-restaurant Arby’s brand rebuild its image — the typically quiet investment firm is set to make news.