Oakville-based Restaurant Brands International, owner of Tim Hortons and Burger King, is among the three giants of fast food companies seeking to bid on Chinese health food and bakery chain Wagas, according to people familiar with the matter.
Yum China Holdings Inc. and Jollibee Foods Corp. are also kicking the tires, along with interest from private equity firms, said the sources, who asked not to be identified because the information is not public.
The owners of the company, whose sales are expected to reach about 1.2 billion yuan ($ 188 million) this year, are seeking a valuation of $ 800 million to $ 1 billion or more, based on previous transactions in the industry, as well. as in the initial interest. people said.
A buyer for the business could emerge as early as this year, with the goal of completing the transaction next year, the people said. The considerations are still ongoing and a final decision has not been made, the people said.
Jollibee, Yum China and Wagas declined to comment, while representatives for Toronto-based Restaurant Brands did not immediately respond to requests for comment.
Jollibee shares rose as much as 3.8% in Manila, the biggest intraday gain in about two weeks.
Founded in 1999 as a coffee shop in Shanghai, Wagas has since expanded throughout China, with more than 160 stores, according to its website. Sells light meals including energy salads, pastas, sandwiches, juices, and coffee.
Last month, Bloomberg reported that Wagas was exploring a sale amid initial interest from potential investors.
Reference-www.thestar.com