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Jubilant Foodworks Ltd (JFL) will acquire the remaining 10% stake of Golden Harvest in Jubilant Golden Harvest (JGHL) joint venture, according to an exchange filing.
"Accordingly, JFL will acquire the complete 49% equity stake of Golden Harvest in JGHL and post the consummation of Call Option 1 and Call Option 2, JGHL shall become a wholly owned subsidiary of JFL," the company said in a statement.
JFL has now issued a notice to Golden Harvest to exercise its call option for acquiring the remaining 10% equity stake in JGHL from Golden Harvest.
Jubilant Golden Harvest Ltd (JGHL) is a JV between JFL and Golden Harvest Ltd, a Bangladesh-based business group with diversified interests in various sectors, including food, dairy, commodities trading, international QSR, logistics and real estate development.
As of December 31, 2021, JGHL, a public limited company incorporated in Bangladesh, was operating eight restaurants.
According to JFL, under the share subscription and shareholders’ agreement dated March 6, 2018, executed between JFL, JGHL and Golden Harvest, it had exercised the first call option for acquiring a 39% equity stake in JGHL from Golden Harvest on September 30, 2021.
It will be an “all-cash consideration" and the transaction will be based on a valuation report to be obtained from a chartered accountant/ Independent Accounting Firm.
JFL is a master franchise of brands such as Dominos and Dunkin' Donuts. It also has franchise rights for Popeyes, an American multinational chain of fried chicken fast-food restaurants for markets such as India, Bangladesh, Nepal and Bhutan.
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