News

Burger King solidifies 'aggressive' franchise agreement in France

November 27, 2013

Burger King Worldwide Inc. has announced the establishment of a joint venture with Groupe Olivier Bertrand, a multi-brand restaurant group with approximately 250 restaurants throughout France, in association with private equity firm Naxicap Partners to aggressively develop and expand the brand's presence in France.

Under the terms of the partnership, the joint venture has signed a long-term master franchise and development agreement which includes sub-franchise rights for all of France. Initial plans include the establishment of Burger King restaurants across the country and the creation of more than 1,200 new job opportunities in the first year, according to a news release.

Naxicap Partners will be a minority shareholder in the joint venture.

"France is one of the largest quick-service restaurant markets in Europe and we have been waiting to find the perfect partner that shares our dream of growing our brand here in the right way. We found that with Olivier Bertrand and his restaurant group and team," said José Cil, president Europe, Middle East and Africa, BKW. "Its reputation and savvy in the restaurant community in France is second to none. Groupe Olivier Bertrand's operating capabilities and significant experience within the food and beverage space, along with Naxicap's expertise in capital growth markets, make them the ideal partners for our expansion in France."

The group has its sights set on a 20-percent share of the French QSR market.

"The nation's enthusiasm for the unique taste and freshness of the Whopper sandwich is reflected in the success of the brand's first new restaurant to re-enter the French market, which opened at the end of 2012," said Olivier Bertrand, president of Groupe Olivier Bertrand.

The partnership with Groupe Olivier Bertrand is the latest example of BKW's international growth strategy.

According to Bloomberg, QSR sales in France are projected to rise 4 percent to $12.8 billion (U.S.) this year after declining in 2012.

Burger King exited the French market in 1997, and returned again last year. It now has three open locations, with a fourth opening in mid-December.

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