Jollibee ventures into Taiwan with acquisition

MANILA, Philippines- Jollibee Foods Corp., the country’s largest fast food chain operator, on Thursday announced that it will be venturing into the Taiwan food market by acquiring a majority stake in a local restaurant company. “The joint venture shall operate and expand the Lao Dong restaurant chains in Taiwan and in the People’s Republic of China," Jollibee said. In a statement to the Philippine Stock Exchange, Jollibee said that wholly-owned unit Jollibee Worldwide Pte. Ltd. signed an agreement to buy 70 percent of Lao Dong a company with eight restaurant outlets and a commissary in Taipei. The stake will be bought for P61.1 million. Apart from that, Jollibee said JWPL will also invest P30.6 M into the company while the present owners give a counterpart fund of P13.1 million. The terms of the agreement are expected to be finalized within the year, Jollibee said. Lao Dong’s present owners, specifically Liu Cheng Hsiung, a popular chef in the region, will assist Jollibee in developing food products and business techniques for its expansion into China, Jollibee explained. Currently, the Filipino company owns 1,469 stores in the Philippines across the Jollibee, Chowking, Greenwich, Delifrance, Red Ribbon, and Manong Pepe’s brands. It has 194 stores abroad: 108 of Yonghe King in China, 37 Jollibee, 22 Red Ribbon, 26 Chowking and 1 Chun Shui Tang tea house in China. - GMANews.TV