Johor MB: Jcorp has its own strategies to expand QSR’S business
ISKANDAR PUTERI: Johor Corp (Jcorp) has increased its stake in QSR Brands (M) Holdings Bhd, which runs KFC and Pizza Hut restaurants in South-east Asia, to 56% compared to 27% in 2012.
Johor Mentri Besar Datuk Dr Sahruddin Jamal, who is also Jcorp chairman, said this has increased Jcorp’s investment value in QSR to Rm3.33bil.
“The remaining 44% belongs to private equity firm CVC Capital Partners and
Employees Provident Fund (EPF), which would constantly review their investment value including selling their stakes in QSR.
“Maybe, due to this, rumours of QSR selling its stake come about,” he said in his winding up speech during the state assembly sitting held at Bangunan Sultan Ismail in Kota Iskandar here yesterday.
Dr Sahruddin was responding to a Bloomberg report, which he described as speculative, that QSR owners are considering a sale of the fast-food operator after shelving an initial public offering earlier this year.
He added that Jcorp has its own strategies to expand QSR business where it does not have to be in a form of restaurants in the near future with Jcorp spearheading the halal industry by strengthening its position in the chicken industry.
“This will allow QSR to supply fresh chicken and frozen meat in Malaysia and the world market.
“I hope these facts will give a clearer picture if there are any doubts towards Jcorp,” he said.
The Mentri Besar added that the state government would always help Jcorp to improve its performance.
The report, quoting sources, said the company’s major shareholders are working with an adviser to gauge interest from potential buyers for a controlling stake in QSR.
A deal could value QSR at about Rm6bil ringgit (US$1.4 bil), the report added.
The company operates more than 830 KFC restaurants in Malaysia, Singapore, Brunei, and Cambodia, as well as more than 470 Pizza Hut outlets in Malaysia and Singapore.
It also breeds chickens and produces sauces, branding itself as a “farm to fork” food operator.