Jollibee buys China’s San Pin Wang for $4.4M

Fastfood giant Jollibee Foods Corp. has bought 55 percent of noodle restaurant San Pin Wang in China for 30 million renminbi or $4.4 million (P190.34 million). In a statement Wednesday, Jollibee Foods said that subsidiary Jollibee Worldwide Pte. Ltd. has entered into a share purchase agreement with Guangxu Zong Kai Food Beverage Investment Co. Ltd. (GZK) to buy 55 percent equity in San Pin Wang. Under the agreement, Jollibee Foods and GZK will infuse another 20 million renminbi to expand the fast-food chain serving low-priced beef noodles. The JollibeeWorldwide-GZK venture will start operations by the first quarter of 2011, Jollibee Foods said. San Pin Wang will have estimated sales of 100 million renminbi next year. It has 34 stores in Nanning City, Guang Xi province, South China. It also operates two commissaries. Founded by businessman Tony Tan Caktiong, Jollibee Foods has 375 stores abroad and 1,578 in the Philippines, including the restaurant brand Jollibee (703), Chowking (404), Greenwich (218), Red Ribbon (215), Delifrance (23), and Manong Pepe’s (15). Abroad, Jollibee Foods has 185 Yonghe King outlets in China; 64 Jollibee stores in the US, Vietnam, and Brunei; 38 Red Ribbon stores in the US; 37 Chowking restaurants mostly in the US; and 51 Hong Zhuang Yuan branches in China. — JE/VS, GMANews.TV