Zambrero bloodbath continues as two more executives depart Mexican fast food chain

Zambrero, Australia’s biggest Mexican fast food chain, was rocked by the sudden departure of its CEO last month. Now it has emerged that two more senior executives have been sacked.

Zambrero founder Sam Prince, right, with his new chief executive Daryl McCormack.

The bloodbath at Zambrero has continued with the sacking of two more senior executives, but the new boss of the nation’s biggest Mexican fast food chain has insisted the latest departures were necessary to achieve the company’s “global ambitions”.

The Australian revealed last month how Zambrero had lost both its chief executive and chief finance officer in quick succession.

Former CEO Matthew Kenny was fired just days after accepting an award for the company at an industry conference in mid-October, while CFO Owen Kemp left the firm of his own volition a short time later.

Billionaire owner Sam Prince, who founded the chain in 2005 when he was a medical student in Canberra with just $16,000 in savings, unveiled new CEO Darryl McCormack at the company’s annual franchise partner conference in Sydney three weeks ago.

Now it has emerged that one of Mr McCormack’s first acts was to sack chief development officer Chris Chase and head of marketing Jade Clark.

Mr Chase, an experienced banking and fund manager, started working for Dr Prince’s family office, the Prince Group, in October 2022, according to his LinkedIn profile. Ms Clark had been with Zambrero for almost two years, after being brought in to the company by Mr Kenny. Both were approached for comment.

Their departure was communicated to Zambrero’s franchisees last week, with Mr McCormack noting it “reflects our need to ensure we have the right structure and expertise for the future”.

“Both have made valuable contributions, but I believe a change is necessary to help us achieve our ambitions to enter our next phase of growth and enable the company to reach the next level of its evolution,” he wrote.

Mr McCormack told The Australian the latest purge of the executive ranks was his decision.

Zambrero's head of marketing Jade Clark and chief development officer Chris Chase were fired last week as the company seeks to expand its ‘global ambition’. Pictures: LinkedIn

He said Zambrero had “global ambitions”, with plans to grow its number of restaurants across Australia, New Zealand, the UK, Ireland and the US from 339 to 500 and “unfortunately for Chris and Jade (their exit) … was part of that decision process”.

Mr McCormack said the company was already in the final stages of hiring a “team of high-calibre people” to replace them, adding that he was confident it could announce the new appointments before Christmas.

He said Dr Prince had been “heavily involved” in the shake-up of the executive team and the hiring process for new staff.

“I’m excited about the talent joining us and what it means for our business. I think you will be excited too,” Mr McCormack told franchisees last week.

Mr McCormack is currently crisscrossing Australia on a six-week “national listening tour” where he is hearing the views of the company’s franchisees.

“Our first plan is to grow within Australia. We’ve had unprecedented interest from our franchise partners for more locations,” he said.

Mr McCormack, who last week visited 48 restaurants in six days, said engaged franchisees were Zambrero’s “most powerful weapon” and that the key to a successful business was to understand “local challenges”.

He brings vast experience of the franchise model, having previously been CEO of Video Ezy, which at its peak had a franchise network of over 500 locations. Prior to that, he was CEO of Blockbuster for Australia and New Zealand, which had 300 locations.

He began his career at KPMG before serving as CFO of the Gandel Group, an investment and property development company founded by billionaire John Gandel and perhaps best known for developing Australia’s largest mall, the Chadstone Shopping Centre in Melbourne.

Asked if Zambrero had any plans for a public listing like its rivals Guzman y Gomez, Mr McCormack demurred, insisting the company still had “so much to achieve”.

“That’s a decision I’ll leave for the owners of the business,” he added.

Originally published as Zambrero bloodbath continues as two more executives depart Mexican fast food chain