Latest news with #spicychicken
CNA
3 days ago
- Entertainment
- CNA
Customers who want to eat the spiciest fried chicken at Taufik Batisah's restaurant must sign an indemnity form
Singaporean singer-entrepreneur Taufik Batisah's popular Nashville-style spicy chicken joint, Chix Hot Chicken, has opened a second outlet at Prinsep Street. The new spot sticks to the same fiery chicken concept, but now seats up to 100 diners, compared to the no-frills 60-seater at Kampong Glam. It's also a lot more stylish and boasts a few new dishes exclusive to this outlet. While the original eatery has a humble chicken shack vibe, the Prinsep branch turns things up a notch with neon lights, checkered floors and brightly coloured walls. 'We were going for a futuristic Americana diner type of vibe, hence the loud colours and pop art. The disco ball was the icing on the cake – we just wanted it to be funky and fun,' chirped Taufik. When asked why he waited seven years to open a new outlet, Taufik exclaimed: 'Rental is very expensive! 'It took us a while to find the best that accommodates our crowd, especially students and the younger generation.' Prinsep Street makes a "strategic location', with arts schools like SOTA and NAFA nearby, he added. 'I wouldn't suggest [working in] F&B to anyone. Rental break-even is very tough,' said Taufik. 'When I told my Malaysian and Indonesian friends [about our rental costs], they said 'Are you nuts?'' Factoring in both rising rent and food costs, he declared: 'We've tried our best to keep up with inflation – we haven't changed the S$9.99 weekday lunch set promo (the popular set includes a chicken burger, fries and drink) since 2018.' Taufik Batisah, 43, together with co-owners Bober Ismail, 38, and Zad, 44, first launched the eatery at Jalan Pisang in Kampong Glam in 2018, specialising in Nashville-style fried chicken. The new Prinsep Street outlet, which opened in February 2025, marks their next big step. Taufik shared: 'Bober and I have been best friends since 2004. We met at our neighbourhood gym in Jurong.' Bober revealed that they invested a six-figure sum into the new outlet. They declined to disclose the new outlet's revenue or profits. He said that Chix managed to achieve profitability at the first outlet, though it took time to get there. 'It was challenging at the start, to introduce a new concept in Singapore but we kept going,' Bober added. 'I love fried chicken. I can eat fried chicken every day,' Taufik cheekily remarked. The Indian-Malay singer says that his wife often teases him: 'You're not very Indian or Malay if Western food is your comfort food.' Taufik shared: '[My role is to bring] people down to Chix. I come by both outlets whenever I can, to talk to our customers and get feedback on how we can improve.' Chix's halal chicken from Malaysia is brined in buttermilk before being dredged in seasoned flour, fried till crisp, then massaged with a reddish dry rub of ground cayenne peppers and other 'secret ingredients'. The menu at this new outlet is similar to the OG one, with the exception of a few new items. Expect Chix's fried chicken in six levels of spiciness – level six featuring the world's spiciest pepper, the Carolina Reaper. Three chicken wings cost S$13.90 while three chicken tenders cost S$14.90, with a top-up for spice level four onwards (from S$0.99 to S$1.99 for Atomic). What kind of damage can you expect from the Atomic heat level? Bober explained: 'It can cause a range of intense physical reactions due to its high concentration of capsaicin (it hits 2 million on the Scoville chart, which measures how hot a chilli is). While it can trigger a release of endorphins, leading to a temporary 'high', it can also cause significant pain, digestive issues or diarrhoea.' Whoa. And that's why customers must sign an indemnity form before attempting the Atomic option. 'We've had about seven ambulances called,' shared Bober. 'One guy tried to impress his girlfriend and went for the Atomic level chicken. He started tearing up, lying down on the floor and passed out.' So they sent him to the hospital. Evidently, said customer turned out fine. He was spotted back at Chix months later, this time fully upright and steering clear of the Atomic chicken. With up to 30 customers ordering the Atomic chicken each month according to Bober, they see customers vomiting outside the restaurant countless times. 'While we may not see customers having diarrhoea in our toilets, most of them usually vomit outside the shop,' he quipped. Taufik himself got all teary-eyed at level five ('Insane') of Chix's hot chicken in TikTok video. He barely managed the Atomic chicken, with tears streaming down his face and jokingly telling his wife that he'd gladly give her his leftovers. What's Taufik's go-to burger? The Chix Cordon Bleu burger at medium spice level. 'So I can enjoy my burger. But if I'm feeling adventurous, I'll go for hot,' he said. 'We kept 80 per cent of our menu the same as the original outlet's and 20 per cent new so that each branch will have something that the other doesn't,' added Bober. The Prinsep joint also offers all the existing promotions, including weekday S$9.99 lunch sets and S$5 milkshakes every Wednesday, along with a new exclusive student deal: Two burgers for S$11.99, available here only. The new food options include three burgers. The Miss Alabama features chicken thigh rubbed in a barbecue spice blend, smothered in the American state's popular white barbecue sauce that often contains apple cider and mayo. At Chix, they've added a hint of black truffle to keep things different. The Smokin' Cajun burger comes with the same crunchy chicken fillet dusted in a smoky spice rub and a drizzle of Cajun sauce that's inspired by viral US fried chicken chain Raising Cane's – made with ketchup, mayonnaise and spices. If you prefer it sweet and saucy, the Sweet Barbecue burger stars fried chicken glazed in smoky-sweet 'cue sauce with gochujang, topped with Chix's signature pink sauce (a blend of chipotle, garlic and mayo). Wash it down with the all-new milkshake flavour: Cookies & Cream (S$8.90). Taufik has big plans for Chix Hot Chicken beyond just the food. He hopes to transform the Prinsep Street outlet into a platform for young creatives to showcase their talents. 'We plan to host open mic and stand-up comedy nights,' he said, noting the proximity of nearby art schools. And the star plans to sing here too: 'We may have a [performance] at the new outlet to celebrate our opening, maybe alongside another hot chicken challenge (whoever finishes three Atomic-level chicken tenders the fastest wins)' at year's end. Beyond that, Taufik will have collaborations with other well-loved local brands. 'It's about supporting each other's businesses,' he said. 'That's how we create longevity.' That's why Chix at Prinsep Street is teaming up with Penny University and Paparch later this month. Expect a coffee cart by Penny University (the popular cafe is at Jalan Klapa), plus creamy cheesecakes from Paparch (a popular takeaway cake shop from City Gate). The property agent-cum-co-owner of interior design company Ivory Cove recently announced his first (and possibly last) solo concert, One Last Dance, this October at The Star Theatre. Tickets to his 5,000-seat concert are already sold out, with prices ranging from S$78 to S$228 each. 'The entertainment industry has served me well, but [my] popularity is going to eventually die off and simmer down,' he said candidly. 'It's important to diversify our work and [ways to] earn income.' Venturing into F&B has always been one of his goals. 'It's one of the businesses I've always wanted to pursue,' mused Taufik.
Forbes
07-06-2025
- Business
- Forbes
The Unlikely Group Getting Rich Off Dave's Hot Chicken's $1 Billion Deal
'How late did you guys stay out last night?' jokes Dave's Hot Chicken CEO Bill Phelps. The 69-year-old, who joined the Los Angeles-based spicy chicken chain in 2019 after leading Blaze Pizza and Wetzel's Pretzels, is sitting next to his second in-command, Dave's president and COO Jim Bitticks, another Blaze alumnus, on one side of a large conference room table in Forbes' Jersey City office. On the other side are two of Dave's four cofounders, Arman Oganesyan, 33, and Dave Kopushyan, 34, who do indeed look like they're on their way to (or from) a big night out. Kopushyan, a cook who is the brand's namesake, is coolly dressed in a white T-shirt and blue-washed jeans covered in Black stars. Oganesyan, meanwhile, dons a bright pink and orange Versace silk shirt, matching pink sunglasses and a Hermes belt with shorts, his arms and legs exposed to show intricate tattoos. Though both claim no mischief the night prior, the duo have plenty to celebrate. Their visit to Forbes is the last stop on a whirlwind two-day press tour following the June 2 announcement that Dave's sold 70% of its business to Roark Capital – the private equity giant that owns Subway, Dunkin', Buffalo Wild Wings among other restaurant brands – at a $1 billion valuation. After the interview, they're hopping on a private jet from Teterboro Airport back to Los Angeles. Dave's was founded in 2017 by Oganesyan, Kopushyan, and brothers Tommy and Gary Rubenyan. All four were children of Armenian immigrants who grew up together in East Hollywood and high school dropouts. They started the business as a pop-up in a parking lot near where they grew up. Their cayenne-coated, Nashville-style chicken, which comes in six different spice levels (the hottest of which, 'The Reaper' requires buyers to sign a waiver), gained an immediate cult following. Continued social media hype around the brand, which says its brand organically generates millions of views a week on TikTok, along with a cadre of celebrity investors including rapper Drake helped turn Dave's into a $620 million (2024 systemwide sales) business with over 300 global locations — and a prime takeover target. The Dave's original pop-up was set up in the parking lot of a random apartment building in East Hollywood. Dave's Hot Chicken The four cofounders, who were at one time so broke they say they struggled to pool together the $900 needed to launch the first Dave's popup, are now richer than they ever imagined. Each owned roughly 10% of the business prior to the sale and is selling around 80% of their stakes, amounting to around $80 million (pre-tax). 'The money's in our accounts,' says Oganesyan, who admits he Googled whether Roark could request the money back. 'Wires are permanent. Even if you mistakenly wire money to somebody, you can't take it back.' (The day before announcing the Roark deal, Oganesyan, a former standup comedian who is Dave's chief business officer, posted a photo of himself sitting on the hood of an electric blue McLaren with the caption: 'Patiently waiting for all my relatives in Armenia to call and ask me for money.') It's quite a jump from the last time they cashed out. The founders previously sold half the business – Dave's had just one location at the time – for $2 million in 2018 to an investor group led by CEO Phelps and the Hollywood producer John Davis, son of billionaire oil and entertainment tycoon Marvin Davis (d. 2004) who is now a prominent food investor. (The pair had having previously worked together on Wetzels, which Phelps founded, and on Blaze Pizza.) 'I fell in love with the boys. There was something about them,' says Davis, who claims he knew from the beginning: 'This is a $1 billion company.' It was really Phelps and Davis who helped it grow so big so fast and, while the duo have worked on the other two restaurant concepts together, this one is the most successful concept to date in terms of the company's ultimate valuation. Phelps and Davis both made 250 times their initial investment. According to Davis, he and Phelps were the largest shareholders in the company at the time of the sale to Roark, with roughly equal stakes. (Davis declined to share his ownership stake but says he still kept some after the sale.) Phelps, who also declined to reveal his ownership stake, says he sold off half of his shares and adds that he and the rest of his investment group voted to give away a chunk of their earnings to create a bonus pool for Dave's executives and employees, around 20 of whom will become millionaires. 'The average bonus for the support people all the way down to assistant restaurant manager level was about $100,000,' adds COO Bitticks. A lot of things had to go right for Dave's to end up where it did. One important factor was the founders' timely bet on chicken. 'The two hottest new concepts in the restaurant world are coffee and chicken,' says John Gordon, a restaurant industry expert who is the founder of Pacific Management Consulting Group. In 2010, chicken overtook beef as the most popular meat in the U.S., according to the U.S. Department of Agriculture. A seemingly insatiable appetite for the protein has helped chicken joints including Raising Cane's, Wingstop and Dave's rank among the fastest growing restaurant chains in America in recent years. Oganesyan says it was this burgeoning trend that prompted him to approach his friend Kopushyan, who he met in middle school, back in 2017. It was a tough sell at first. Kopushyan, who previously worked as a line cook at famed chef Thomas Keller's Bouchon restaurant in Los Angeles, was a vegetarian working at Elf Cafe, a veggie restaurant on Sunset Boulevard. But after a month of lobbying, Oganesyan managed to convince his friend, who developed a recipe he says is 98% the same as the one Dave's currently sells. The pair recruited Tommy Rubenyan and his older brother Gary, who would later help put up the money to open the first store. The operation was extremely scrappy. Though they initially floated the idea of selling out of a food truck, they decided to do the pop-up instead, borrowing tables and chairs from their families and using the $900 to buy a fryer and heat lamps. Dave's is known for its nuggets and sliders, which it sells with pickles, fries and Dave's signature sauce. Dave's Hot Chicken A rave review from local food blog Eater LA five days into business made Dave's an overnight sensation. Within a year, they opened their first restaurant in East Hollywood. Despite being in an area Phelps describes as a 'dump' – 'we would never approve that site today,' adds Bitticks – Dave's food went so viral that the founders claim the restaurant ended the year doing $5 million in sales. 'It was the cult following,' says Phelps. 'It was what they created through Instagram, the [Eater LA] article… It drew people to the restaurant like crazy and there would be two hour lines for that store.' The brand initially relied heavily on marketing its products through Instagram. But it's also become a big hit on TikTok, where it's trendy for people to post videos of themselves eating and reviewing Dave's' sliders, nuggets and fries. Not surprisingly, the founders say there was immediate interest from investors. They shrugged off most inquiries but one stood out: A post-it note left with the restaurant's manager. 'It just said 'founders call John Davis,' recalls Kopushyan. Davis is one of Hollywood's most prolific producers with more than 115 credits – including 'Predator' and 'Doctor Dolittle' – and $8 billion in box office earnings for the films he's backed. Over the past three decades, he's also made a name for himself as a successful early backer of early-stage fast-casual concepts. In 1997, Davis bought into Wetzel's Pretzels, an Auntie Annie's competitor founded by Phelps and Rick Wetzel (Davis and his investment group sold their stake in the business in 2008 at a valuation of $36 million). Davis and Phelps teamed up again in 2012 when they became two of the earliest investors in Blaze Pizza, another restaurant concept founded by Wetzel and his wife Elise. They sold their minority stake in the 380 restaurant chain for an estimated $250 million in 2017. Davis, who is also an investor in Pop-up Bagels, has a simple formula for building winning restaurant brands: bring on board his posse of trusted investors including Phelps, actor Samuel L. Jackson and celebrity investment advisor Paul Wachter ('we just go from deal to deal'), take the biggest ownership stake, install his own management team and install a celebrity to help rep the brand. Davis did exactly this with Dave's, convincing Phelps, who he'd worked with at both Wetzel's and Blaze, to run the brand instead of retiring. Immediately after the deal, Dave's began franchising with the help of a management team almost entirely carried over from Blaze. A recent text exchange between Dave's Hot Chicken investor John Davis and cofounder Arman Oganesyan, who kept the post-it note Davis left at the first restaurant in August 2018. John Davis Dave's second restaurant opened in 2019 and then six more the next year, according to data from the restaurant industry data collector Technomic. They targeted franchisors who had owned a Blaze, Wetzel's or another fast casual restaurant previously. Phelps also helped several executives, including Bitticks and Dave's CFO James McGehee, buy franchise locations (Bitticks owns three currently and has plans to open up two more). Dave's founders now own a combined seven locations. By 2022, a year after Dave's announced rapper Drake as its big celebrity backer (Drake is a client of Wachter's, who helped bring him into the deal, according to Davis), they'd opened nearly 100 locations, many of them in California. They've since more than tripled that number, expanding into 46 different states and seven countries. Dave's systemwide sales hit $617 million last year, up from $392 million in 2023, the Technomic data shows. In 2020, sales were just $22 million. It's not uncommon for trendy food restaurants to hit the gas too quickly on their brick and mortar growth, then suffer when they fall out of style. This is what happened with Subway, which was acquired by Roark last year for over $9 billion after shuttering nearly a quarter of its locations over the past decade. Blaze, Phelps and David' previous venture, shut 30 locations, or 10% of its total stores, last year, according to Kevin Schimpf, senior director of industry research at Technomic. Blaze's sales also dropped from $400 million in 2023 to $357 million in 2024. When asked whether their chain has any reservations about growing too quickly, Dave's leadership is dismissive. 'We understand this business really well,' says Bitticks of Dave's. 'We're going to go from opening 80 restaurants last year to roughly 155 this year, to almost 165 or 170 next year. That's the kind of growth we can maintain.' The company isn't worried about competitors. 'I went into a Popeye's and had their spicy chicken sandwich and said, 'We're going to be rich,' says Phelps. Even beloved brands like Chick-Fil-A and Raising Cane's don't rattle him, citing the eating patterns of his two young adult sons. 'They eat out twice a day,' he says. 'It's not like you only have one shot to eat out this week and it's either Dave's or Raising Cane's.' They're talking a big game but, at least for now, Dave's is still a small fry. According to Phelps, the average Dave's restaurant brings in around $3 million a year in sales (EBITDA margins are between 18% and 20%); data from Technomic suggests that number is closer to $2.5 million. This outpaces the likes of Popeyes, which recorded around $1.9 million in average sales at its more than 2,400 locations last year. But Dave's sales pale in comparison to some of its more ferocious competitors: Chick-Fil-A averaged $9.3 million at its free-standing and drive-thru restaurants last year, while Raising Cane's reportedly hit $6.2 million in average unit volume. Roark began circling Dave's five years ago when it had just 15 locations. The owners joked that the private equity firm was 'stalking' the brand as they were constantly being courted at conferences or, in Phelps' case, even one time on the golf course. Before Dave's Hot Chicken, Bill Phelps cofounded and ran Wetzel's Pretzels until 2019. Dave's Hot Chicken In the end, the owners were keen enough on the $1 billion offer and worried enough about Trump's tariffs and ensuing economic uncertainty that they rushed to close the deal through a 'truncated sales process' after agreeing to the deal initially in January, according to Bitticks. 'The [mergers & acquisitions market] has been very quiet,' echoes Gordon, the restaurant analyst. Plus, there's another good reason for Dave's to get the deal done now: 'Eating out is a form of entertainment,' says Gordon. 'You need to sell when the concept is hot.' What's trending one day may not be trending the next. And as a business deeply rooted in trends, Dave's may be particularly vulnerable to changing cultural tides. Davis, for his part, says it was largely his decision for Dave's owners to cash out when they did. 'We have to take care of our investors and give them the opportunity to get out what they want,' he says. 'What I recommended to all of them is when everything is perfect, that's the time to get out.' He adds that Roark's experience is going to 'open up' Dave's to foreign markets, which his team doesn't have as much expertise in. 'This concept is going to be really good in foreign countries.' Dave's has already sold the rights to open more than 1,000 franchise locations in the U.S., the U.K., the Middle East and Canada over the next five years. Despite the celebratory parade around the sale, Dave's founders and execs insist they are not walking away any time soon. None are contractually obligated to stay on now the Roark deal is done, but they all say they're planning to do so. Oganesyan remains Dave's chief brand officer, while Kopushyan is chief culinary officer. They highlight that they continue to hold a stake in the brand as well as multiple franchise locations. Plus, they say none of the now 55 employees at Dave's HQ have left the company since it was founded seven years ago. As for the customers who may be concerned about what will happen to Dave's in the hands of private equity: 'Our whole journey, when we were in the pop up, people were saying 'Oh when you guys get a store the quality is going to go down.' Then when we started franchising, people were like 'Oh my gosh, the franchising quality is going to go down,'' says Oganesyan. 'Every step of the way, people were always like that. And I think what I was always trying to get across to people is, as long as you have founders and people within the brand who care about the food, they care about the experience, the quality will never go down.'
