Related: Noodles & Company ramps up franchising again But we're saying that we're very happy with the amount of interest we're seeing over the past few months … with these types of high-quality, well capitalized partners that see the overall potential in the future of this brand.”

As you can imagine with the uncertain environment, that has increased the lead time a bit as they navigate inflation and demands in their own businesses. … We target well established multi-unit operators. We'll share more details as the deal gets finalized, but we're in the final stages of one that’s for one of the southern markets that we’ve targeted, a good-sized deal. “Unlike the California deal, this is not a refranchise,” Boennighausen said in response to an analyst’s question.

The agreement comes as the chain has been ramping up its franchising initiatives, including a refranchising agreement with California-based Warner Foods earlier this year, and plans to enter South Carolina with franchisee SA Restaurant Groups Inc.

Related: Noodles & Company adds a $1 surcharge to chicken dishes as costs rise “We are in the final stages of an agreement for a large area development in the southern part of the United States and have been very pleased with the increase in franchise interest we have seen in recent months,” he told investors as he and chief financial officer Carl Lukach discussed earnings for the second fiscal quarter, ended June 28, 2022. Noodles & Company is about to announce an agreement to sign a franchisee for a development contract in the South, CEO Dave Boennighausen said during a conference call Wednesday afternoon.

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