Devyani International expands into Thailand with acquisition of KFC chain
Devyani International DMCC (DID), a subsidiary of Devyani International Limited (DIL), has marked its entry into the Thai market by signing a Share Purchase Agreement to acquire a controlling interest in Restaurants Development Co., Ltd. (RD) Thailand. This move signifies DID’s expansion into the Quick Service Restaurants (QSR) and Limited Service Restaurants (LSR) sectors in Thailand.
Acquisition of a Prominent KFC Operator
RD operates a remarkable chain of 274 KFC restaurants across Thailand, employing over 4,500 people. The acquisition, set to close by March 31, 2024, is contingent upon customary regulatory and other approvals. This acquisition places DID in a significant position in the Thai food market, extending its global footprint in the QSR industry.
Collaboration with Temasek Holdings
The venture into Thailand represents a collaboration between Devyani International Limited and Temasek Holdings (Private) Limited, a global investment company based in Singapore. This partnership underlines the strategic significance of the Thai market in Devyani International’s global expansion plans.
Devyani International’s Foray into Thai Market: Acquires Major KFC Operator
KFC’s Strong Presence in Thailand
KFC, franchised by Yum Restaurants International (Thailand) Co., Ltd, is the largest QSR/LSR chain in Thailand. The brand has seen substantial growth since its first restaurant opened in 1984. Thailand’s robust poultry market and increasing meat consumption present a significant opportunity for further growth in the QSR sector.
Devyani International’s Commitment to the Thai Market
DIL aims to deepen its presence in Thailand while enhancing consumer experiences in the local market. The acquisition of RD is not just an expansion move but also a commitment to serving local communities and contributing to the region’s rich culinary landscape.
Devyani International’s Global Presence
Devyani International Limited is one of the fastest-growing QSR operators in India, serving as the largest franchisee for Yum Brands in the country. Besides KFC and Pizza Hut, DIL also franchises Costa Coffee and operates the South Indian vegetarian food brand Vaango. As of September 30, 2023, DIL operates over 1,300 stores across brands in over 240 cities in India, Nigeria, and Nepal.
The RJ Corp Connection
DIL is a key component of RJ Corp, a multinational conglomerate with diverse interests in beverages, fast-food restaurants, retail, ice cream, dairy products, healthcare, and education. This acquisition further strengthens RJ Corp’s global presence in the F&B sector.
Future Prospects and Growth Opportunities
With its entry into the Thai market, Devyani International Limited is poised to become a key player in the QSR/LSR sector in the region. Thailand’s economy, coupled with its attractive consumption levels, offers a robust platform for DIL’s continued growth and expansion in the global food and beverage industry.