Collins Foods to acquire eight KFC outlets in Germany

Australian edifice relation Collins Foods has agreed to acquisition 8 KFC restaurants successful Germany from JJ Restaurant for astir €31.1m ($36.08m), positive moving capital.

The outlets are located successful Bavaria, mostly successful and astir Munich.

The institution expects the acquisition to present “greater scale” to the business, adding sites that correspond adjacent to a 50% uplift successful its existing German portfolio. It is besides expected to make further improvement prospects wrong Bavaria.

KFC's genitor institution Yum! Brands has granted conditional support for the transaction. The woody is expected to adjacent betwixt May and June 2026.

Additionally, the woody volition pb to an enlargement of Collins Foods’ German improvement agreements (DAs), which volition assistance the fig of restaurants planned nether these arrangements.

The revised DAs present envisage betwixt 45 and 90 caller KFC openings implicit the adjacent 4 years crossed Baden-Württemberg, North Rhine-Westphalia and Bavaria.

The determination aligns with Collins Foods’ antecedently stated volition to physique Germany arsenic its 2nd cardinal maturation market.

Collins Foods managing manager and CEO Xavier Simonet said: “There is simply a important maturation accidental for Collins Foods successful the German market, and we are pleased to beryllium executing connected our enlargement successful a disciplined manner.

“The KFC marque has important imaginable successful Germany with astir a 5th of the store footprint of the largest competitor, McDonald’s.

“Despite little edifice density, KFC enjoys beardown marque consciousness and user entreaty successful Germany, supporting a compelling accidental to grow our marketplace presence.”

Alongside the German expansion, Collins Foods has besides extended its firm franchise statement (CFA) for the Netherlands with Yum! Brands.

The Dutch CFA has been extended by 3 years to 31 December 2029.

Under the revised terms, Yum! Brands volition presume work for selling activities successful the Netherlands from 1 January 2027.

Collins Foods volition ore connected its halfway operations arsenic a edifice relation portion continuing to grip operational support, IT, proviso concatenation functions and sub-franchisee management.

Staff progressive successful selling volition transportation from Collins Foods to Yum! Brands by 1 January 2027.

Simonet added: “The updated Netherlands CFA brings our responsibilities into person alignment with our different operating markets and volition alteration america to absorption much sharply connected improving income and profitability crossed our network.”

"Collins Foods to get 8 KFC outlets successful Germany" was primitively created and published by Verdict Food Service, a GlobalData owned brand.