Dominos India Parent Jubilant To Invest Rs 92 Crore In Barbeque Nation

• Jubilant Foodworks, which operates Dominos India operations, is set to invest Rs 92 crore in Barbeque Nation.
• Barbeque Nation is one of India's leading casual dining restaurant chains owned by Barbeque Nation Hospitality Limited (BNHL).
• The company is backed by CX Partners and Alchemy Capital.

Jubilant Foodworks Ltd, which manages Dominos India operations, on December 31, said that it will invest Rs 92 crore in Barbeque Nation in exchange for a 10.76% equity stake.

Founded in 2006 by Sajid Dhanani, Barbeque Nation is one of India's leading casual dining restaurant chain company owned by Barbeque Nation Hospitality Limited (BNHL). It owns and operates 138 restaurants across 73 cities in India, 5 in UAE, 1 in Malaysia, and 1 outlet in Oman.

BNHL which operates Barbeque Nation (BBQ), an Indian cuisine casual dining Brand, introduced the concept of live grilling of kebabs to the Indian market.

"The company has entered into a share subscription agreement to acquire equity shares and a restated shareholders' agreement to regulate the rights and obligations of BNHL's key shareholders," Jubilant Foodworks said in a regulatory filing.

With the proposed investment, The company will acquire 36,50,794 fully paid-up equity shares of the face value of Rs 5 each aggregating to a 10.76% stake in BNHL. The deal is expected to be completed by January 25, 2021.

Commenting on the development, Jubilant Foodworks, Chairman Shyam S Bhartia, and its Co-Chairman Hari S Bhartia said, “We are happy to announce our investment in Barbeque Nation - a differentiated, casual dining restaurant brand of scale with strong unit economics. We are confident that the proposed investment will create value for our shareholders."

The proposed investment will create value for the company's shareholders, they added.

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Barbeque Nation Hospitality Limited is a wholly-owned subsidiary of Sayaji Hotels.

The company's management includes Nagamani Chikkondihalli Yekambareswara, Kayum Razak Dhanani, Thottappully Narayanan Unni, Abhay Chintaman Chaudhari, Tarun Khanna, Suchitra Dhanani, and Raoof Razak Dhanani.

Earlier this year, BBQ has expanded its presence in various locations, including Bathinda, Kandivali, Kakinada, Dwarka, and Jalandhar.

In July 2018, The company had raised Rs 80 crore from Alchemy Capital Management, an investment firm co-founded by ace investor Rakesh Jhunjhunwala. CX Partners is also an early investor in the company.

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