Burger King® Franchisee Rancak Selera Sdn Bhd Acquires Burger King® Restaurants in Singapore
Acquisition Part of Burger King Worldwide’s Global Refranchising Strategy and Includes Expansion Commitment in Singapore and Malaysia Markets
MIAMI & KUALA LUMPUR, Malaysia - (BUSINESS WIRE) - Sep. 14, 2012 - Burger King Worldwide (NYSE: BKW) today announced the sale of 41 company-owned Burger King® restaurants in Singapore to Rancak Selera Sdn Bhd (Rancak Selera), part of Ekuiti Nasional Berhad’s (Ekuinas) portfolio of companies and the current Burger King® franchisee in Malaysia. As part of the transaction, BKW and Rancak Selera have entered into Master Franchise and Development Agreements to further develop the Burger King® brand in both Malaysia and Singapore over the next 20 years.
Under the transaction, Rancak Selera has acquired a 100% stake in Burger King Singapore Pte Ltd (BK Singapore). Additionally, Rancak Selera will commit substantial capital to help expand the Burger King® brand in Singapore and Malaysia. The Burger King® brand has quickly become one of the leading QSR players in Singapore, known for its signature flame-broiled, great-tasting food. Since opening its first Burger King® restaurant in Malaysia in 1997, Rancak Selera has grown the brand’s presence in the country to 32 outlets.
Elias Diaz-Sese, president, Burger King Asia Pacific, stated, “Over the last year, Rancak Selera has proven to be a strong operator with a passion for delivering great-tasting, high-quality food. We are pleased with this new phase in our relationship and believe that they have the capacity to aggressively expand the BURGER KING® brand presence in these two key markets.”
Commenting on this momentous occasion, Dato’ Abdul Rahman Ahmad, chief executive officer, Ekuiti Nasional Berhad, and director Rancak Selera Sdn Bhd said, “With the size of Singapore’s F&B market currently at SGD9.01 billion (RM22.6 billion) and growing, comparable to the whole of Malaysia, we believe that this is a great platform for our company’s venture into the fast food business. We are very honoured that BKW has agreed to accord us the status of Master Franchisee, which will enable us to serve our customers in Malaysia and Singapore for the next 20 years.”
This press release includes forward-looking statements, which are often identified by the words “may,” “might,” “believes,” “thinks,” “anticipates,” “plans,” “expects”, “intends” or similar expressions, and include statements regarding BKW’s expectations regarding the growth opportunities in Malaysia and Singapore and the ability of Rancak Selera to capitalize on these opportunities and rapidly expand the BURGER KING® brand’s presence in these countries. These forward-looking statements may be affected by risks and uncertainties in BKW’s business and market conditions. This information is qualified in its entirety by cautionary statements and risk factor disclosure contained in filings made by BKW with the Securities and Exchange Commission, including its Registration Statement on Form S-1. BKW wishes to caution readers that certain important factors may have affected and could in the future affect BKW’s actual results and could cause BKW’s actual results for subsequent periods to differ materially from those expressed in any forward-looking statement made by or on behalf of BKW, including the risk that Rancak Selera will not be successful in opening BURGER KING® restaurants in Malaysia and Singapore or that the opportunities to open restaurants in these countries will decline. BKW undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date hereof.
About Burger King Worldwide
Founded in 1954, Burger King® (NYSE: BKW) is the second largest fast food hamburger chain in the world. The original Home of the Whopper®, the Burger King® system operates in over 12,600 locations serving over 11 million guests daily in 86 countries and territories worldwide. Approximately 94 percent of Burger King® restaurants are owned and operated by independent franchisees, many of them family-owned operations that have been in business for decades. To learn more about Burger King Worldwide, please visit the company's website at www.bk.com or follow us on Facebook and Twitter.
About Rancak Selera Sdn Bhd
Rancak Selera Sdn Bhd is a portfolio company of Ekuiti Nasional Berhad (Ekuinas), a government-linked private equity fund management company established to create the next generation of leading Malaysian companies. Rancak Selera currently owns 74.1% equity in the Malaysian franchisee for BURGER KING® and has been aggressively growing the network since 2011, in line with BKW’s global expansion drive.
Source: Burger King Worldwide
For Burger King Worldwide Holdings, Inc.
Burger King Worldwide
Vice President, Global Communications
For Rancak Selera
Ekuiti Nasional Berhad
Associate Director, Communications