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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] BKR, which operates more than 500 Burger King outlets in South Korea, has been put up for sale, with its valuation reportedly reaching up to 1 trillion won (approximately $750 million), according to an exclusive report by Seoul Economic Daily.
According to investment banking sources on April 27, Affinity Equity Partners, the largest shareholder of BKR, has distributed teaser letters to potential buyers. The sale includes 100% of Affinity’s stake in the company.
Affinity acquired BKR (formerly Burger King Korea) in 2016 from VIG Partners for 210 billion won.
BKR holds the domestic franchise rights for Burger King and Tim Hortons, currently operating more than 550 Burger King stores and about 25 Tim Hortons locations in Korea.
The company has shown strong growth, with revenue increasing from 253.2 billion won at the time of acquisition to 893.3 billion won last year, while EBITDA surpassed 100 billion won. BKR is also recognized for its product development capabilities, including exporting Korea-developed menu items to overseas markets.
Potential buyers are expected to include both financial investors (FIs) and strategic investors (SIs), particularly as foreign investment in Korea’s F&B franchise sector continues to rise.
In a related development, The Carlyle Group recently completed the acquisition of 100% of KFC Korea from Orchestra Private Equity, highlighting sustained global interest in the Korean franchise market.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
