By Zanub Saeed
Burger King announced that it plans to open 1,000 restaurants in China within the next five to seven years, as part of I a newly-formed joint venture, said Reuters.
Burger King Worldwide Holdings Inc. made the global expansion announcement on Friday, will join several other big franchises in their move to China, including McDonald's Corp. and Starbucks, both of whom plan to build hundreds of new restaurants in the Asian nation in the next few years, noted Reuters.
"We are very excited to expand our relationship with BURGER KING and further establish the brand's presence in such an exciting, active market with a vibrant economy and substantial growth potential," Erhan Kurdoglu, stated for a press release issued by Burger King on Monday.
The deal was made between Burger King and members of the Kurdoglu family, which has been a long-time Burger King franchisee, and Cartesian Capital Group, a global private equity firm, said Reuters. The venture between the organizations will allow the Cartesian Capital Group to have exclusive rights to expand Burger King in China from the 63 stores that currently exist there.
"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," Elias Diaz Sese, president, BK Asia Pacific, said for the press release. "We have partnered with solid investors and experienced restaurant operators to accelerate our net restaurant growth in China, while introducing our signature great-tasting, fire-grilled menu items to millions of consumers in the country."
This is the latest of Burger King's expansion around the world. In early June, Burger King announced a joint venture in Russia to expand their brand of stores in the Asian-European nation to add several hundred stores in the next few years, said the press release. This is similar to the agreement Burger King made in Brazil this past May.
"BURGER KING is a world-renowned brand with tremendous growth potential, especially in China. We are proud to be part of this joint venture and to expand our partnership with the Kurdoglu family. Our shared commitment to high-quality food, world-class service, and solid operations will propel our growth in the country," Peter Yu, Managing Partner of Cartesian Capital Group, added for the press release.
