Popeyes to re-enter Chinese market with Tims China partnership
, BNN Bloomberg
Fast-food restaurant chain Popeyes is planning to re-enter the Chinese market through a partnership with TH International Ltd, the company that operates Tim Hortons in China.
The decision announced Wednesday stated the board of directors of TH International agreed to a partnership between the two franchises, which would result in Tims China acquiring the rights to the Popeyes brand in an all share transaction with the plan of expanding the franchise in mainland China and Macau.
“We are thrilled to have the opportunity to welcome Popeyes, a beloved global brand and proven winner, to the Tims China family,” Yongchen Lu, chief executive officer of Tims China, said in the release.
“Both brands will benefit from greater scale, a stronger financial model, and synergies, including in the supply chain and new restaurant development,” he added.
The decision follows a previous attempt to launch Popeyes outlets in China after plans in 2019 to open 1,500 locations was reportedly scrapped due to the COVID-19 pandemic.
The transaction is subject to conditions as an audit committee oversees its completion.
The decision announced Wednesday stated the board of directors of TH International agreed to a partnership between the two franchises, which would result in Tims China acquiring the rights to the Popeyes brand in an all share transaction with the plan of expanding the franchise in mainland China and Macau.
“We are thrilled to have the opportunity to welcome Popeyes, a beloved global brand and proven winner, to the Tims China family,” Yongchen Lu, chief executive officer of Tims China, said in the release.
“Both brands will benefit from greater scale, a stronger financial model, and synergies, including in the supply chain and new restaurant development,” he added.
The decision follows a previous attempt to launch Popeyes outlets in China after plans in 2019 to open 1,500 locations was reportedly scrapped due to the COVID-19 pandemic.
The transaction is subject to conditions as an audit committee oversees its completion.
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