Quote Originally Posted by Snoopy View Post
We haven't heard much progress on the Restaurant Brand's deal to buy 70 KFC restaurants in California and I am wondering if it is time to end this trans pacific foray.

All dining on KFC premises in mainland USA (and that includes California) has stopped. I would think that is very material to RBD's Californian acquisition proposal. If the deal hasn't been called off, I would suggest there are now strong grounds for a renegotiation on price. If RBD can't get a discount on those Californian restaurants, I would suggest their capital is better spent revamping their Hawaiian operation, and perhaps re-energizing their plans to pick up another swag of KFC restaurants in New South Wales.
News released today that the Californian deal is going ahead, with no mention of a price renegotiation.

http://nzx-prod-s7fsd7f98s.s3-websit...995/329793.pdf

The following is an article on how YUM Brands, the master franchise holder for KFC, has navigated Covid-19

https://www.qsrmagazine.com/restaura...rength-numbers

YUM closed down many restaurants during the second quarter of the year., but it looks like the tide has turned:

"Restaurants started reopening in May, and as of June, closures were down to half what they were at their peak. Today, closures have slid to fewer than 2,500 units, meaning Yum is back to 95 percent coverage."

Time will now tell if RBD has overspent to establish its Californian foothold.

SNOOPY