7 October 2025
Does PE Ruin Everything?
Every brand I've loved seems to get worse after private equity buys it. A bang-average dinner at Chargrill Charlie's, and why "shareholder value" so often means less value for everyone.
It feels like every brand I've ever loved eventually gets worse after being bought by Private Equity.
They seem to consistently trade long-term brand quality for short-term returns, and in doing so, destroy the very thing that made the business valuable.
The other day I realised it had been quite a while since I had frequented my local Chargrill Charlie's.
Accordingly I ventured down the road in hunt of some hot chicken and chips.
I decided to change things up and went for their "meal" instead of a burger.
What I was left with was: stale chips, cold chicken and a couple bang-average sides.
Oh, and a price tag of $26.
I knew Chargrill Charlie's had been taken over by the private equity group PAG Asia Capital a few years ago (they also own Red Rooster, Oporto and Chicken Treat) and it feels like the quality has dropped off.
Maybe it was just one bad experience.
Unlikely.
What always baffles me is how "creating shareholder value" becomes a licence to undermine consumer value. Prices go up, quality goes down, and shrinkflation quietly creeps in.
And in the longrun, shareholders, and everyone for that matter, are worse off.
In my experience, good business is simple: give the customer more value than what they're paying for.
Maybe that's a simplified view. But why PE and investor funds continue to ruin a good thing in search of a short-term gain still baffles me.
Perhaps it's naive.
But, why can't we have nice things?