After acquiring YongHe King, Jollibee, the Philippine fast food chain, aims to acquire another Chinese food chain and the company has announced plans to acquire 100% of the equity in the Beijing Hongzhuangyuan porridge store chain for about USD55.5 million.
According to Jollibee, the two sides have signed a final agreement, which is waiting for the approval of the Chinese Ministry of Commerce. So far, Hongzhuangyuan owns over 40 chain stores around China, of which more than 30 are in Beijing. Its revenue for 2008 is expected to reach CNY197 million.
One of the few Asian fast food groups that can compete with international fast food giants such as McDonald's in the world market, Jollibee owns 1,383 restaurants in its domestic Philippine market and 171 restaurants around the globe.