Private equity firm Roark Capital has bought a majority stake in Dave's Hot Chicken, the company announced on Monday.

Financial terms were not disclosed, but Dave's CEO Bill Phelps said on CNBC's "Squawk Box" that the reported $1 billion valuation for the deal is "pretty close."

Since its founding in a Los Angeles parking lot in 2017, the fast-growing chicken chain has expanded to more than 300 locations by franchising its restaurants. Dave's U.S. sales soared 57% last year and surpassed $600 million, according to data from market research firm Technomic.

Roark's investment follows a boom for chicken-focused restaurants, fueled by the so-called " Chicken Sandwich Wars " sparked by Popeyes in 2019. A wave of quickly expanding upstarts, like Dave's and Raising Cane's, have challenged

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