South Africa’s BWG acquires franchise giant, plans 25 new outlets by 2030

Oluwatosin Alao
Oluwatosin Alao
BWG Group Chief Executive John Moane

BWG Group, the South African-owned retail and wholesale company behind the Spar, Londis and Mace brands in Ireland, is making a significant push into the fast-food industry through the acquisition of one of the country’s largest franchise operators. 

The deal marks a strategic shift for BWG as it moves beyond traditional grocery and convenience retail into the quick-service restaurant (QSR) market.

The company said the move reflects changing consumer demand for convenient, ready-to-eat meals and broader opportunities in food service. 

BWG has completed the purchase of Abgel, which operates well-known brands including O’Briens Cafe, Abrakebabra and Bagel Factory.

The acquisition gives BWG an immediate presence in Ireland’s QSR industry, a segment the company sees as a natural extension of its existing franchise-led retail model.

Expansion into a growing food-service market 

The QSR sector now accounts for about 37% of Ireland’s food-service market, according to BWG, as consumers continue shifting toward quick and flexible dining options.

The company said the acquisition positions it to compete more directly in a segment that has grown steadily across Europe. 

Abgel operates 72 locations nationwide, including 47 O’Briens Cafe and Bagel Factory outlets, 17 Abrakebabra restaurants and eight Oasis of Taste Food Halls. The network is supported by more than 50 franchise partners across Ireland. 

BWG said it plans to build on this footprint by adding 25 new outlets by 2030, which would bring the total network close to 100 locations.

BWG Group Chief Executive John Moane said the brands already have strong customer recognition and established franchise systems. He said the company intends to support expansion while maintaining the operational independence of franchise partners.

Franchise model and integration strategy 

Both BWG and Abgel operate franchise-based systems, which the company said will make integration smoother. BWG said Abgel will gain access to its centralized services, including finance, technology, human resources and trading support. 

The group said these capabilities are expected to improve efficiency and support long-term growth while preserving the entrepreneurial structure of the franchise network. 

The acquisition also adds a new growth pillar to BWG’s international portfolio, which includes more than 1,000 Spar, Eurospar, Londis, Mace and XL stores across its retail network. 

In its latest financial year, BWG’s Irish operations generated more than $2 billion in revenue and $55.75 million in pretax profit, underscoring the importance of the market within the group. 

The deal comes as Spar Group reshapes its international footprint, including the planned sale of BWG’s UK operations to AF Blakemore & Son, which includes 71 company-owned Spar stores and logistics assets in southwest England.

While Spar Group has flagged weaker earnings in South Africa, its Irish business has continued to deliver steady performance, supported by stronger margins, improved supplier terms and a more balanced sales mix.

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