Collins Foods is continuing its expansion of its KFC empire by purchasing 16 KFC restaurants in the Netherlands.
The Australian company, which is the largest KFC franchisee in Australia, bought the restaurants from Yum! Brands for AUD$87.8 million.
According to a report from Collins Foods on the acquisition, the deal also includes the rollout of 20 new KFC restaurants in the Netherlands by the end of 2021, with six to be opened by 2018.
The acquisition will be funded by a $54.5 million equity raising at $5.25 a share, which is a discount of $0.63 to the last price, and some debt.
Locations for the new restaurants include Amsterdam, Hague, and Almere.
This isn’t the first time that Collins Foods has bought restaurants in Europe. The company has previously purchased restaurants in the Netherlands, as well as in Germany.
This comes on the back of continued growth for Collins Foods, with revenue up 12.3% to $247.2 million and underlying EBITDA up 5.4% to $30.7 million for the 20 weeks up to March 5th.
Collins Foods is likely to continue its expansion in Australia and abroad in the future.