Global private equity fund (PEF) manager Affinity Equity Partners said on the 18th that it sold 100% equity in Burger King Japan to Goldman Sachs Asset Management's alternative investments division. The sale price was 78.5 billion yen (about 750 billion won), reported to be 5.8 times the original investment.
Burger King Japan is Affinity's first investment in Japan. In 2017, it signed a master franchise development agreement (MFDA) with RBI Global in a greenfield format and exclusively operated Burger King in Japan. Greenfield refers to a method in which corporations secure a new business site in the target country and newly build stores and service systems that meet brand standards to enter the market.
After acquiring the franchise rights, Affinity pursued strategies such as aggressive store expansion, strengthening store competitiveness, and enhancing the customer experience. After Affinity's acquisition, Burger King Japan's sales grew 290 times over seven years, and the number of stores increased from 8 to 310.
Min Byung-cheol, Korea country head at Affinity Equity Partners, said, "Burger King Japan is an investment case that demonstrates Affinity's capabilities and expertise to innovate and expand the consumer platform through operational excellence and digital innovation."