Burger King Worldwide today announced an exclusive restaurant development agreement with Fondo Escala Capital and Promotora to further develop brand in Colombia by more than 100 new points of sale within the next five years.
As part of the transaction, Fondo Escala Capital and Promotora have agreed to acquire a majority stake in Kinco S.A.S., currently a franchisee of Burger King Worldwide.
"Colombia's economy is thriving and we believe this is a valuable market in our strategic mission to expand our footprint in the Latin America and Caribbean region," said Jose Tomas, president, Latin America and Caribbean, Burger King Worldwide. "There is a tremendous opportunity to grow the Burger King brand in Colombia and this deal is an important step in realizing that opportunity."
Burger King Worldwide entered Colombia in 2008 and the brand currently has a presence in 29 countries throughout Latin America and the Caribbean.
Additionally, Bloomberg reported this week that Burger King will expand in the Russian region of Siberia later this year.
Burger King made its Russian debut in 2010, nearly 20 years after McDonald's entered the market. Burger King now has 70 restaurants open in Russia and plans to open its first Siberian outlet in Surgut.
Jose Cil, Burger King's president of the Europe, Middle East and Africa division, said Russia is a key growth market and the brand is making progress "very quickly."
Although McDonald's has been in the market for two decades, the company only recently announced its expansion into Siberia. In August, the Golden Arches announced a plan to open at least 10 units there, after the company solidified a new supply chain development in European Russia that includes distribution centers in Siberia.
Prior to these announcements, Subway and KFC were the only global QSRs that operated in Siberia, the latter of which has had a presence there since 2002.
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