Quick favor: Our records indicate that you aren’t opening this email. But records can be wrong. Please click here if you’d like to remain subscribed to The Wolf of Franchises.

Good Morning Wolf Pack,

Today's newsletter covers a private equity shakeup in coworking franchising, a 61-unit KidStrong mega-deal in the tri-state area, and the story behind Wendy's aggressive push into Mexico, even as it shuts down hundreds of domestic restaurants.

Enjoy!

Was this email forwarded to you?

FROM THE WOLF DEN

Private equity firm New State Capital Partners acquired Vast Coworking Group in early March, carving it out of its former parent company United Franchise Group. Terms of the deal were not disclosed.

Vast operates three coworking franchise brands — Venture X, Office Evolution, and Intelligent Office — with more than 200 locations globally, about 2.7 million square feet of workspace, and roughly 70,000 members. CEO Jason Anderson will stay on to lead the company.

The deal comes at an interesting moment for coworking. The U.S. market added over 7 million square feet in Q4 2025 alone, and with the return-to-office wave shifting companies toward hybrid models, demand for flexible workspace is rising. Vast President Jason Anderson put it plainly: "2026 will be the first office year that CRE will have a flex-first approach."

Notably, the acquisition coincided with franchisees expanding their own footprints — Florida-based couple Kevin and Giedre Priddy, who own seven Venture X locations and one Office Evolution unit, announced a separate acquisition that will bring the brand's Dallas presence to at least 12 units.

Joe Pedatella, who has been a KidStrong franchisee since 2021, just signed a 61-unit development agreement covering the entire tri-state area — making him the brand's largest single developer overnight. He currently has 18 locations open or in pre-sale across New Jersey, Connecticut, and New York, with a plan to reach 22 by year's end.

KidStrong is a children's fitness and development concept for kids ages 1–11, built around science-based programming developed with experts in physical education, occupational therapy, and child development. The brand now has 180 units nationwide and is targeting between 55 and 60 openings in 2026 — Pedatella expects to be responsible for seven of those.

The deal requires a minimum of four new openings per year. Pedatella credited five years of infrastructure-building — including growing regional leadership and operations teams — for giving him the confidence to scale aggressively. "At the end of the day, we're all aligned around the same goal of building a strong brand that delivers to great families," he said.

For context: the initial investment range for a KidStrong franchise runs from approximately $448,000 to $600,000, with a $40,000 franchise fee and a minimum $150,000 in liquid capital required.

Wendy's announced the finalization of two new franchise agreements that will bring more than 60 new restaurants to Mexico in the coming years. The deals split into two regional plays: AJ Group will develop 50 locations in the Mexico City area, while WS Pacific builds 12 in the northern states of Sinaloa and Durango. First openings in both regions are targeted for later in 2026.

Mexico's burger QSR market hit $2.4 billion in 2024, growing at a 14.3% annual clip over the past five years — and Wendy's says it has 92% brand awareness in areas where it hasn't opened yet. The international momentum is a strategic priority for CEO Ken Cook, who noted the brand will close between 300 and 600 underperforming U.S. restaurants in the first half of 2026.

"Wendy's is winning globally because our brand, our food, and our business model deliver," said E.J. Wunsch, President of International for The Wendy's Company.

The math here is telling: Wendy's is shedding 5–6% of its domestic footprint while simultaneously locking in 60+ units in a high-growth emerging market. It's the classic international pivot playbook — but the scale of U.S. closures alongside the Mexico news is a rare admission that domestic saturation is a real problem.

EXTRA SAUCE 💥

Vast Coworking Franchisees Double Down on Dallas Florida-based Venture X franchisees Kevin and Giedre Priddy acquired four Dallas coworking locations and are converting them to Venture X, which will grow the brand's Dallas footprint to at least 12 units.

IFA Projects 845,000 Franchise Establishments and $921B in Output for 2026 IFA CEO Matt Haller says franchising is on track to add 150,000 jobs this year, with the Southeast and West leading growth — and AI and the American Franchise Act both on the IFA's priority list.

Orangetheory Fitness Eyes Japan Expansion Purpose Brands announced plans to bring Orangetheory Fitness to Japan, adding to a string of international moves as the brand continues to look beyond saturated U.S. metro markets.

Slim Chickens Makes Ireland Debut in Dublin The fast-casual chicken brand opened its first restaurant in Ireland, continuing an aggressive international push that has been a key driver of recent system growth.

Freddy's Announces Multi-Unit Expansion Plans in Ontario and British Columbia The Midwestern burger and custard concept is pushing into Canada, signing development agreements in two of the country's most populous provinces.

Re/Max Completes Major Franchise Conversion Across Canada Re/Max extended its Canadian presence through a large-scale franchise conversion deal, reinforcing its dominant position in the Canadian real estate market.

Marco's Pizza Enters 2026 With Deliberate Development Plans After Strategic Expansion Year The fast-growing pizza brand is signaling disciplined growth after heavy investment in systemwide infrastructure in 2025 — prioritizing quality over rapid unit count.

HTeaO Names New VP of Store Development and SVP of Operations The Texas-based iced tea franchise bolstered its executive bench with two senior leadership hires — a sign the brand is building out the infrastructure to support continued growth.

Eggs Up Grill Partners With Metz Group on Multi-Unit Agreement The breakfast-focused franchise inked a new multi-unit development deal, adding to a recent run of franchise growth deals in the breakfast and brunch daypart category.

Bobby's Burgers Signs Canadian Flagship Lease at The Well in Toronto Celebrity chef Bobby Flay's burger brand is planting its flag in one of Toronto's premier mixed-use developments, as the brand escalates its Canadian strategy.

RNR Tire Express Makes International Debut with Signed Agreement in Canada The rent-to-own tire and wheel brand crossed the border for the first time, marking a significant milestone for a concept that has grown steadily in the U.S. market.

Multi-Unit Franchising Conference Set for Las Vegas, March 24–27 The largest conference dedicated to multi-unit franchise operators convenes in Las Vegas next week — expect deal announcements, brand pitches, and a good read on where the money is flowing in franchising right now.

WOLF BITES

• Artemis II launch is targeting no earlier than April 1 and humans could orbit the moon for the first time in 50+ years next month 🌕
• Atlassian cut 10% of its workforce to self-fund investments in AI and enterprise sales 🤖
• Nintendo shares jumped 18% in a single week on the back of a surprise Pokémon hit 🎮
• OpenAI surpassed $25B in annualized revenue 💰
• Scientists created "Smart Underwear" that measures flatulence via gut microbes 👖
• CEOs of top airlines demand Congress restore funding ☕
• More Popeyes locations have closed after major franchisee filed for bankruptcy 😲
• Severe storms pummel parts of U.S. with snow, high winds, and risk of tornadoes 👀

That’s it for this edition of The Wolf Report. Feel free to reply with any questions or feedback. Thanks and see you Thursday!

— The Wolf

Get your brand in front of 35,000+ entrepreneurs, investors, and business owners.

The Platform for Franchise Entrepreneurs

Krokit gives you all the tools you need to launch, operate, and expand your franchise empire.
Try it out.

Workweek Media Inc. 
1023 Springdale Road, STE 9E
Austin, TX 78721

Want to ruin my day? Unsubscribe.