Utah’s Savory Fund Closes $201.5 Million Fund III, More Than Doubling the Size of Its Previous Funds — Combined

EXECUTIVE SUMMARY

✅ Draper-based Savory Fund has closed its third restaurant-focused investment fund at $201.5 million, exceeding its $200 million target and raising more capital than its first two funds combined.

✅ Approximately $70.5 million, representing 35% of Fund III, has already been deployed across four restaurant brands, including Utah-based Bonrue Bakery and Zao Asian Grill.

✅ Savory Fund reports more than $750 million in assets under management, with investments spanning 13 restaurant brands, and over 400 locations across 27 states.

DRAPER, Utah — 19 October 2026 — Restaurant-focused private equity firm Savory Fund has closed its third investment fund at $201.5 million, surpassing its $200 million target and exceeding the combined size of its first two funds.

The closing represents a substantial expansion of the firm's investment capacity as its first two funds, established in 2018 and 2021, each totaled approximately $100 million.

According to Savory, the PE firm has already deployed ~$70.5 million (roughly 35% of Fund III) across four restaurant companies, specifically:

🔷  Bonrue Bakery, a St. George, Utah-headquartered, European-style bakery and patisserie;
🔷  Hawkers Asian Street Food, an Orlando, Florida-based Asian restaurant concept;
🔷  South Block, an açaí bowl and smoothie chain originating in the Washington, D.C., market; and
🔷  Zao Asian Grill, a Utah-founded, fast-casual Asian restaurant chain.

According to its website, Bonrue currently has four locations in Utah:
▪️ Hurricane,
▪️ Provo,
▪️ Springdale, and
▪️ St. George,
respectively.

Conversely, Zao currently has 22 locations in Utah:
▪️ American Fork/Lehi,
▪️ Cottonwood Heights,
▪️ Farmington,
▪️ Layton,
▪️ Logan,
▪️ Murray,
▪️ Orem,
▪️ Park City,
▪️ Riverdale,
▪️ Riverton,
▪️ Salt Lake City,
▪️ Sandy,
▪️ Saratoga Springs,
▪️ South Jordan,
▪️ Spanish Fork,
▪️ St. George,
▪️ West Jordan, and
▪️ Woods Cross,
plus two locations in Idaho and one in Colorado.

Additionally, when Savory announced in August 2026 that it had invested in Zao, it explained that
🔴  The chain expects to add 10-plus locations through 2027, an
🔴  Expansion funded (in part) by a $12.5 million debt facility from Columbia Bank.

{AUTHOR'S NOTE: It appears that neither Hawkers Asian Street Food nor South Block have locations in Utah. Today.}

Individual investments were not disclosed in any of these four Fund III portfolio companies.

According to Savory, ~$131 million in Fund III monies remain available today for deployment, although some capital may be reserved for follow-on investments and other fund obligations.

Savory expects the new fund ultimately to encompass eight to nine restaurant companies, suggesting another four to five investments remain ahead.

Institutional Investors Join Fund III

According to Managing Director/Co-Founder, Andrew K. Smith, the majority of Fund III's limited partners had previously invested in one or both of Savory's previous funds.

The new fund also attracted major financial institutions, although their identities and individual commitments were not disclosed.

"The majority of our third fund’s LPs invested with us in Fund I or II," Andrew said. "They’ve been here as we’ve helped scale 13 restaurant brands across the country, from Detroit-style pizza to Nashville-style hot chicken to dirty soda, and I don’t take it for granted that they came back."

Savory Fund was founded by Andrew and his wife, Shauna K. Smith, and combines private equity investment with restaurant
🟢  Operations,
🟢  Development, and
🟢  Management services,
targeting profitable, founder-led restaurant concepts with significant expansion potential.

As Shauna explained:

“What our investors are really backing is the team behind the checks: operators who have opened restaurants, built playbooks, and know what it takes to scale without losing what made a brand special. Fund III gives us the runway to bring that expertise to more founders who are ready for their next chapter.”

In January 2026, Savory Fund appointed Clay Dover as CEO, bringing in the former chief executive of Velvet Taco; it was at that time Shauna Smith transitioned to Managing Director from CEO.

A Track Record Built on Restaurant Expansion

Two of Savory Fund's most notable investments involve Utah-founded restaurant chains.

Case in point, under Savory's majority ownership, St. George-founded Swig expanded from 17 to 46 locations before The Larry H. Miller Company acquired a majority stake in 2022.

Similarly, Mo’ Bettahs grew from six to 56 restaurants as a Savory portfolio company before Blue Marlin Partners and Trive Capital acquired majority ownership in 2024.

Savory Fund retained minority interests in both companies, giving it a shot at "another bite of the apple" (meaning an opportunity to take additional money off-the-table again if/when either restaurant chain has another financial exit).

With more than $750 million in assets under management and a portfolio spanning 27 states, Savory's latest fundraising success positions it to continue to expand its investments in emerging restaurant brands nationwide.

Congrats!!!

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