Burger King has established a new joint venture in China to help aggressively expand the brand’s presence.
The US company has entered into a JV with members of the Kurdoglu family, the long-time Burger King master franchisee, and Cartesian Capital Group, a private equity firm. The new JV plans to open 1000 Burger King restaurants in China over the next five to seven years.
The deal represents the largest multi-unit development agreement in the brand’s history and will make the Kurdoglu family the system’s largest franchisee globally.
“Expanding our brand’s presence in China further exemplifies our company’s commitment to strengthening our global restaurant portfolio and establishing a strong brand presence in key growth markets around the world,” said Elias Diaz Sese, president, Burger King Asia Pacific.
The Kurdoglu family, which was advised by Ata Invest, Istanbul, operates TAB Gida currently, the Burger King system’s largest franchisee internationally. Under their operational leadership, they have grown the Burger King brand in Turkey from just one restaurant to more than 450.
“Burger King is a world-renowned brand with tremendous growth potential, especially in China. Our shared commitment to high-quality food, world-class service, and solid operations will propel our growth in the country,” said Peter Yu, managing partner of Cartesian Capital Group.
The new partnership has the exclusive rights to expand the Burger King brand in China, where there are currently just 63 restaurants.
Burger King’s expansion plans in China are aligned with the company’s long-term global growth strategy. Earlier this month, Burger King developed a joint venture in Russia to rapidly expand the brand’s presence in the market with several hundred Burger King restaurants expected to open in the next several years. Last July, Burger King also formed a similar venture in Brazil to add several hundred restaurants in South America’s fastest-growing economy.
Burger King now operates in over 12,500 locations in 82 countries and territories worldwide.
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