AmRest Holdings SE, the largest independent restaurant operator in Central and Eastern Europe, has just signed the master-franchise agreement for Pizza Hut in Russia, Azerbaijan and Armenia.
The Company has a 25 year history of building a highly profitable business in Central and Eastern Europe using strong brands such as KFC, Starbucks, Burger King and Pizza Hut. Now AmRest plans to expand its presence in Russia, focusing on opening new Pizza Hut restaurants and establishing long-term cooperation with individual franchisees.
Confidence in the brand
Russia is another market after Germany, France and CEE countries, where AmRest got the right to grant the license to the third parties to operate Pizza Hut restaurants. Based on the agreement signed on April 27, 2018 with PH Europe S.à r.l., a division of Yum! Brands, Inc., AmRest will become the Pizza Hut master-franchisee for Russia, Azerbaijan and Armenia, having right to grant the license to the third parties to operate new restaurants in the territory. Additionally, the company will step in as a master-franchisee for ca. 30 restaurants currently operated by multiple sub-franchisees. Additionally, AmRest, through its subsidiary, will take-over assets of 16 restaurants currently operated by Yum Restaurants International Russia and CIS LLC.
The company believes that Pizza Hut brand has a great potential to grow in Europe.
- This transaction is yet another step in an execution AmRest M&A roll up strategy for Pizza Hut. We concluded two important acquisitions of Pizza Hut business in France and Germany last year with an intention to strengthen our scale and bring out the full potential of the brand in these markets. We are fully convinced that our plans to grow the brand in Russia will contribute to further building a reputation of Pizza Hut as one of the most loved and fastest growing brand globally– said Peter Kaineder, Chief Strategy Officer at AmRest.
- This transaction is yet another step in an execution AmRest M&A roll up strategy for Pizza Hut. We concluded two important acquisitions of Pizza Hut business in France and Germany last year with an intention to strengthen our scale and bring out the full potential of the brand in these markets. We are fully convinced that our plans to grow the brand in Russia will contribute to further building a reputation of Pizza Hut as one of the most loved and fastest growing brand globally– said Peter Kaineder, Chief Strategy Officer at AmRest.
Appetite for more
AmRest wants to move quickly in Russia by opening at least 200 restaurants in the next 5 years. According to the Company’s strategy a development of the brand will be driven mainly by two restaurant formats: Delivery units and Express concept, which has been successfully introduced in CEE markets.
- As the biggest restaurant operator in Central and Easter Europe we have a successful track record of opening new businesses and operating them in a long term period. Now we are bringing a well thought out and competitive franchise model to Russia and we are proactively seeking for potential partners to build a great future of Pizza Hut brand here – said Alexander Nigmatullin, Pizza Hut Director in Russia (AmRest).
- As the biggest restaurant operator in Central and Easter Europe we have a successful track record of opening new businesses and operating them in a long term period. Now we are bringing a well thought out and competitive franchise model to Russia and we are proactively seeking for potential partners to build a great future of Pizza Hut brand here – said Alexander Nigmatullin, Pizza Hut Director in Russia (AmRest).
