Mumbai-based fine dining restaurant chain Speciality Restaurants, backed by multi-stage PE investor SAIF Partners, disclosed that it has formed a joint venture company in Doha, Qatar in partnership with Al-Mohannadi Group to expand its flagship brand serving oriental cuisine Mainland China overseas.
Al-Mohannadi Group will hold 51 per cent stake in the joint venture, while the remaining will be held by Speciality Restaurants.
Shares of the Indian company rose over 10 per cent in intra-day trading over the news but ended the day at Rs 129, up 6.4 per cent on BSE in a flat Mumbai market on Thursday.
Speciality Restaurants, whose brands include Mainland China and Oh! Calcutta among others, already has an overseas unit in Bangladesh and has been looking at the Middle East.
It ended FY13 with revenues of Rs 227 crore with a net profit of Rs 23.4 crore. It was listed in mid-2012 raising Rs 177 crore. Mainland China contributes bulk of its revenues.
The company has been looking to expand its presence in the quick service restaurant (QSR) space, and is also eyeing acquisitions especially a bakery chain to expand its portfolio.
SAIF Partners had recently raised its holding in the company and currently holds around 14.9 per cent in the firm. It had originally bought around 14 per cent which had got diluted with the fresh issue in the IPO. The company’s share price is currently lower than its issue price in the public float.
(Edited by Joby Puthuparampil Johnson)