Thai Beverage PCL (Y92.SG) has agreed to buy the KFC outlets in Thailand from Yum Restaurants International (Thailand) Co. for an initial consideration of 11.3 billion Thai baht ($339.6 million).
ThaiBev said late Tuesday that the deal involves acquiring more than 240 existing and a number of developing KFC stores in Thailand. It said it plans to fund the deal, which is expected to be completed by the end of the year, with internal resource and bank borrowing.
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The agreement comes as the Southeast Asian beverage company seeks to expand further into the food business and capture the KFC brand's rising popularity in Thailand.
Nongnuch Buranasetkul, ThaiBev's senior vice president of food business in Thailand, said the company sees potential to expand its customer base across the country through the acquisition, allowing it to gain further insight into consumer trends.
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(END) Dow Jones Newswires
August 08, 2017 07:47 ET (11:47 GMT)