Sources inform ''Globes'' that Sbarro Israel, owned by Amnon Barzilai and Dan Warner, is about to close a deal to take over management of the Pizza Meter pizza chain.
So far as is known, this is not a merger. Under the deal, Sbarro Israel will administer Pizza Meter in exchange for management fees, but will not be a partner in the latter. Sbarro Israel declined to comment on the report.
Sbarro Israel sources told “Globes” that it took over the administration of Domino’s Pizza Israel last year. The measure was designed to cut Domino’s Pizza Israel’s operating costs by 4-5%, making it profitable.
Pizza Meter was sold to a non-food company last year after falling into receivership. Sbarro Israel’s administrative integration of the chain is designed to cut Pizza Meter’s management, marketing, financial and personnel overhead.
Sbarro Israel has 22 branches across the country, and Pizza Meter 25 branches. Before its sale, Pizza Meter had estimated sales of NIS 45 million.
Published by Globes [online], Israel business news - www.globes.co.il - on July 17, 2005