JOLLIBEE Foods Corp. (JFC), one of the world’s largest quick service food chains, said on Thursday it is divesting its 80.22-percent interest in a US restaurant business that operates six outlets in order to focus on its larger businesses in the United States.
The homegrown fast food giant said its offshore unit Jollibee Worldwide Pte. Ltd. (JWPL) is selling back to Chow Fun Holdings LLC its 2,900 Class A shares at $551.72 per share, for a total consideration of $1.6 million or about P80 million.
Chow Fun is the operator of Jinja Bar and Bistro, which has three outlets in New Mexico, two in Albuquerque, and one in Santa Fe. Chow Fun will settle the $1.6-million deal with readily available funds, JFC said.
JFC added that the divestment is part of its intention “to concentrate its resources in building its larger businesses.”
JFC’s businesses in the US include 34 Jollibee outlets, 33 Red Ribbon stores, and 16 Chowking stores as well as a 40-percent stake in burger joint Smashburger, which has 378 stores.
Earlier this week, JFC via JWPL unloaded its 55 percent stake in Chinese restaurant chain San Pin Wang for RMN90 million, or about P648.9 million, to focus on its other Chinese venture, Yonghe King.
JFC’s food service network currently spans 3,236 stores all over the world, with 2,565 outlets in the Philippines and 671 abroad.
In addition, it has a 60 percent stake in Vietnam-based Superfoods Group, which owns and operates Highlands Coffee and Pho 24 and is a franchisee of Hard Rock Café; and a 48-percent stake in 12 Hotpot (China) 16.
These joint ventures account for another 594 outlets which are not yet included in JFC’s consolidated store count.
JFC’s brands include its flagship Jollibee plus Chowking, Greenwich, Red Ribbon, Mang Inasal, and Burger King in the Philippines and in other parts of the world; Yonghe King, Hong Zhuang Yuan, and Dunkin Donuts in China; and Smashburger in the US.