|
BIZCHINA> Top Biz News
![]() |
|
Yum! buys into Little Sheep
By Ding Qingfen (China Daily)
Updated: 2009-03-26 07:48 Yum! Brands Inc, the US catering group, said yesterday it agreed to buy a 20 percent stake in Inner Mongolia Little Sheep, China's leading hot-pot chain operator, for $63 million, becoming the second-largest shareholder in Little Sheep.
Yum! will buy a 13.92 percent stake from UK-based venture capital firm 3i and the US' Prax Capital, and another 6.07 percent from Little Sheep's stake holders including its Chairman Zhang Gang, at a price of HK$2.4 per share, or an 8.4 percent discount to its closing price of HK$2.62 on Tuesday. The deal is expected to be completed this summer. "The transaction is good for both," Wu Ruiling, deputy secretary-general of China Chain Store & Franchise Association, told China Daily. As the world's largest restaurant chain, Yum! has 3,000 restaurants in China under its five brands including KFC, Pizza Hut, Taco Bell and East Dawning. China is Yum!'s fastest growing market, enjoying an annual double-digit growth by sales revenue. But the financial crisis has reportedly hurt local business. "The deal would help Yum! enter into the hot-pot sector, which is promising and almost immune to the bad economic situation," said Wu. Little Sheep, China's first restaurant chain listed in Hong Kong, has a 6 percent market share in China, according to researcher Euromonitor International. The company posted a 41.2 percent growth in profit for 2008. (For more biz stories, please visit Industries)
|
|||||
新竹市| 银川市| 临海市| 信丰县| 大连市| 秀山| 宁南县| 饶平县| 怀远县| 定兴县| 博乐市| 株洲县| 杭锦后旗| 江华| 新化县| 朝阳市| 梁平县| 方正县| 嘉黎县| 浦东新区| 华阴市| 德兴市| 迭部县| 庆元县| 泸西县| 孝义市| 大渡口区| 静乐县| 青岛市| 兴文县| 宽城| 崇明县| 团风县| 班戈县| 手机| 青州市| 长沙市| 六枝特区| 黄浦区| 大荔县| 万全县|