Latest news with #DevyaniInternational
Reuters
04-07-2025
- Business
- Reuters
Yum Brands in talks to facilitate merger of its two Indian partners, ET reports
July 4 (Reuters) - Yum Brands (YUM.N), opens new tab, which owns KFC and Pizza Hut, is in talks to facilitate a merger of its Indian franchisee partners Devyani International ( opens new tab and Sapphire Foods ( opens new tab, the Economic Times reported on Friday, citing sources. Shares of Sapphire Foods rose 7.5% while Devyani was trading 2.8% higher as of 1:40 p.m. IST. The development comes at a time when most fast food franchisees across India are struggling with a slowdown in same-store sales growth and margin expansion, as consumers reeling under high cost of living cut back on dining out and ordering in. Sapphire reported a 6% sequential decline in KFC and 13% sequential decline in Pizza Hut's average daily sales for the quarter ended March, while Devyani's KFC same-store sales saw a decline of 6.1% in the fourth quarter year-on-year. However, its Pizza Hut same-store sales grew 1%. The talks could see Sapphire Foods merge into Devyani International via a share swap, with Sapphire shareholders potentially receiving one Devyani share for every three held, the newspaper reported, citing one source. The deal may involve Devyani acquiring Sapphire's KFC and Pizza Hut franchise rights, or consolidating all KFC franchisee stores in India under Devyani, the report added. Devyani's market capitalization is at 211.4 billion rupees ($2.48 billion), while Sapphire's stood at 110.8 billion rupees, according to data from National Stock Exchange of India. Devyani had more than 2,000 stores across its network in India, Thailand, Nigeria and Nepal, as of March 31. Sapphire had 836 KFC and Pizza Hut restaurants in India and 127 Pizza Hut and Taco Bell restaurants in Sri Lanka as of March end. Devyani and Sapphire did not respond to requests for comment, while U.S.-based Yum Brands was not available for comment outside regular business hours. ($1 = 85.3580 Indian rupees)
Mint
04-07-2025
- Business
- Mint
Sapphire Foods India shares rise over 10% on reports of merger with Devyani International
Sapphire Foods India share price jumped over 10 per cent to ₹ 352.05 on National Stock Exchange (NSE) on Friday, following a report that Yum! Brands, the U.S.-based parent company of KFC and Pizza Hut, is in discussions to merge its two Indian franchise partners, Devyani International Ltd (DIL) and Sapphire Foods. Sapphire Foods India shares opened at ₹ 331.90 apiece on July 4, as compared to previous close of ₹ 320.55. The stock has gained over 7 per cent in past five trading sessions and nearly 11 per cent in a month. Meanwhile, Devyani International share price climbed nearly 3.14 per cent to ₹ 173.68 on Friday following the merger report. The stock has descended over 13 per cent in six months, however, has gained 3 per cent in a year. Both Devyani International and Sapphire Foods India currently operate KFC and Pizza Hut outlets in India as franchise partners of Yum! Brands. According to a report by The Economic Times, the U.S.-based company is now exploring the possibility of merging its two Indian partners into a single entity. As part of this potential merger, Devyani International might take over all franchise rights of KFC and Pizza Hut from Sapphire Foods, or alternatively, all KFC outlets across India could be brought under Devyani's brand umbrella, the report stated. A share swap ratio of 1:3 is being considered for the merger, meaning Sapphire Foods shareholders would receive one share of Devyani International for every three shares they hold. Sapphire Foods posted a consolidated profit after tax (PAT) of ₹ 2.024 crore in the fourth quarter of FY25, showing a slight year-on-year decline from ₹ 2.039 crore recorded in the same period last year. The company's revenue rose by 13 per cent YoY to ₹ 711 crore in Q4FY25, driven primarily by strong performances from KFC India and Pizza Hut Sri Lanka. During the quarter, six new KFC outlets were launched, bringing the total number of restaurants to 963 as of March 31, 2025. Consolidated restaurant EBITDA saw a marginal 1 per cent YoY decline, with the margin at 12 per cent. Adjusted EBITDA fell 7 per cent to ₹ 50.8 crore, resulting in an adjusted EBITDA margin of 7.2 per cent. Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
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Business Standard
24-06-2025
- Business
- Business Standard
Why did KFC, Pizza Hut operator Devyani International shares rise 3% today?
Devyani International, operator of famous fast food chains KFC and Pizza Hut, shares gained 3.3 per cent in trade on Tuesday, logging an intraday high at ₹172.4 per share on BSE. The buying on the counter came after the company inked a share subscription agreement and shareholders agreement with Sky Gate Hospitality for acquisition of 80.72 per cent stake. At 10:21 AM, Devyani International share price was trading 1.38 per cent higher at ₹169.05 per share on the BSE. In comparison, the BSE Sensex was up 1.09 per cent at 82,785.49. The company's market capitalisation stood at ₹20,424.94 crore. Its 52-week high was at ₹222.75 per share and 52-week low was at ₹130.05 per share. Devyani International has previously informed that it had acquired 80.72 per cent stake in Sky Gate Hospitality along with its subsidiaries. To discharge the consideration for the acquisition, Devyani International had proposed the issuance and allotment of 2,37,18,413 shares of face value of ₹1 each, on a preferential basis. According to the filing, post the said acquisition, Sky Gate along with its subsidiaries-- Blackvelvet Hospitality, Say Chefs Eatery, and Peanutbutter and Jelly became subsidiaries of Devyani International. On Monday, June 23, 2025, the company executed the share subscription, purchase and shareholders agreement with Sky Gate and its promoters/ founders to acquire additional equity stake in Sky Gate, in one or more tranches. The cost of acquisition is up to ₹106.25 crore, according to the filing. Currently, the company holds 80.72 per cent equity in Sky Gate. Subsequent to the proposed investment, the company's equity stake would increase to 86.13 per cent, on a fully diluted basis, in Sky Gate. About Devyani International Established in 1991, Devyani International Limited (DIL) is one of India's largest and fastest growing Chain Quick Service Restaurant (QSR) operators in the country. As on December 31, 2024, the company operates more than 2,030 stores across brands in over 280 cities in India, Thailand, Nigeria and Nepal. DIL is India's largest franchisee for Yum Brands, operating KFC and Pizza Hut outlets, and the exclusive franchisee for Costa Coffee cafes in the country.
Economic Times
24-06-2025
- Business
- Economic Times
Devyani International shares in focus on additional stake acquisition in Biryani by Kilo for Rs 106 crore
Shares of Devyani International Ltd (DIL) will be in focus on Tuesday, June 24, after the company announced plans to acquire an additional stake in Sky Gate Hospitality, the parent company of Biryani By Kilo, for up to Rs 106.25 crore. ADVERTISEMENT The acquisition will be carried out through a combination of subscribing to new equity shares and purchasing shares from the promoter group. This is expected to increase Devyani's stake in Sky Gate from the current 80.72% to 86.13% on a fully diluted basis. In an exchange filing, the company confirmed that it has executed a share subscription agreement and shareholders' agreement with Sky Gate and its promoters, along with a share purchase agreement to acquire the additional stake in one or more tranches. Devyani International stated that the move aims to facilitate further investments in Sky Gate and its subsidiaries—Blackvelvet Hospitality, Say Chefs Eatery, and Peanutbutter and Jelly Private Limited—while also supporting general corporate transaction, which has been undertaken on an arm's length basis, is expected to be completed on or before July 31, Gate operates multiple food and beverage brands, including Biryani By Kilo, Goila Butter Chicken, The Bhojan, Get-A-Way, and Krazy Kebab Co. ADVERTISEMENT For the financial year ending March 31, 2025, Sky Gate reported an unaudited consolidated turnover of Rs 277 crore (excluding a few subsidiaries). Since its incorporation in July 2015, the company has posted consistent revenue growth, rising from Rs 133 crore in FY22 to Rs 277 crore in FY25 (unaudited), highlighting its growing presence in India's food and beverage sector. On Monday, shares of Devyani International closed flat at Rs 166.75 on the BSE. ADVERTISEMENT Also read: Is the grey market premium misleading? Decoding the valuation gap in HDB Financial's IPO (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times) (You can now subscribe to our ETMarkets WhatsApp channel)
Time of India
24-06-2025
- Business
- Time of India
Devyani International shares in focus on additional stake acquisition in Biryani by Kilo for Rs 106 crore
Devyani International will be in focus on June 24 after announcing plans to acquire an additional stake in Sky Gate Hospitality, parent of Biryani By Kilo, for up to Rs 106.25 crore. The deal, via a mix of fresh equity and promoter stake purchase, will raise Devyani's holding from 80.72% to 86.13% on a fully diluted basis. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Shares of Devyani International Ltd (DIL) will be in focus on Tuesday, June 24, after the company announced plans to acquire an additional stake in Sky Gate Hospitality , the parent company of Biryani By Kilo , for up to Rs 106.25 acquisition will be carried out through a combination of subscribing to new equity shares and purchasing shares from the promoter group. This is expected to increase Devyani's stake in Sky Gate from the current 80.72% to 86.13% on a fully diluted an exchange filing, the company confirmed that it has executed a share subscription agreement and shareholders' agreement with Sky Gate and its promoters, along with a share purchase agreement to acquire the additional stake in one or more International stated that the move aims to facilitate further investments in Sky Gate and its subsidiaries—Blackvelvet Hospitality, Say Chefs Eatery, and Peanutbutter and Jelly Private Limited—while also supporting general corporate transaction, which has been undertaken on an arm's length basis, is expected to be completed on or before July 31, Gate operates multiple food and beverage brands, including Biryani By Kilo, Goila Butter Chicken, The Bhojan, Get-A-Way, and Krazy Kebab the financial year ending March 31, 2025, Sky Gate reported an unaudited consolidated turnover of Rs 277 crore (excluding a few subsidiaries). Since its incorporation in July 2015, the company has posted consistent revenue growth, rising from Rs 133 crore in FY22 to Rs 277 crore in FY25 (unaudited), highlighting its growing presence in India's food and beverage sector On Monday, shares of Devyani International closed flat at Rs 166.75 on the BSE.
