Jubilant Foodworks acquires 29.42 per cent stake in Roadcast Tech Solutions

0
35
Jubilant Foodworks acquires 29.42 per cent stake in Roadcast Tech Solutions
Jubilant Foodworks acquires 29.42 per cent stake in Roadcast Tech Solutions

The remaining acquisition of a 10.58 per cent stake in Roadcast Tech Solutions is likely to complete by 26 October this year

Jubilant Foodworks, on Monday, has completed the acquisition of a 29.42 per cent stake in Roadcast Tech Solutions. In July, the Domino’s Pizza, Dunkin’ Donuts, and Popeyes franchiser signed a share purchase agreement to acquire a total 40 per cent stake in Roadcast. The remaining acquisition of a 10.58 per cent stake in Roadcast Tech Solutions is likely to complete by 26 October this year.

In its regulatory filing, the food service company Jubilant Foodworks said, “as on 26 September 2022, the Company had acquired 29.42 per cent stake (on fully diluted basis) in Roadcast and the acquisition of remaining 10.58 per cent stake (on fully diluted basis) is likely to be completed by 26 October 2022 as agreed with Roadcast.”

This investment reflects the Company’s intent of making strategic investments in promising start-ups and emerging businesses and is in line with the stated goal of building a multi-brand and multi-country food business powered by technology, Jubilant Foodworks had said on 28 July.

For the management of last-mile delivery operations, Roadcast Tech Solutions offers a logistics platform. Roadcast’s delivery automation SaaS platform helps clients to monitor their fleet and personnel in real time.

The cost of acquiring a 40 per cent stake in Roadcast Tech Solutions is Rs. 40 crore on fully diluted basis.

As per the agreement, Jubilant will have the right to nominate two non-retiring Directors on the Board of Roadcast Tech Solutions and an observer to the Board. Also, the agreement inter-alia provides for certain rights in the nature of information rights, rights in respect of reserved matters, exit rights, pre-emptive rights, and similar rights which are customary in such transactions.

On BSE, Jubilant Foodworks shares closed at Rs. 602.35 apiece down by Rs. 18.75 or 3.02 per cent. The company’s market cap is around Rs. 39,745.78 crore.

Part of the Jubilant Bhartia Group, Jubilant FoodWorks is India’s largest food service company. Addressing three different food market segments, it holds the master franchise rights for three international brands, Domino’s Pizza, Dunkin’ Donuts, and Popeyes.

At present, the company currently operates more than 1,625 outlets for Domino’s Pizza, Dunkin’ Donuts, and Hong’s Kitchen and is a market leader in the pizza segment. Further, it has more than 30,000 brand ambassadors committed to delivering value to its customers.

Also readHow to Build an OT Cyber Security Program

Do FollowCIO News LinkedIn Account | CIO News Facebook | CIO News Youtube | CIO News Twitter

About us:

CIO News, a proprietary of Mercadeo, produces award-winning content and resources for IT leaders across any industry through print articles and recorded video interviews on topics in the technology sector such as Digital Transformation, Artificial Intelligence (AI), Machine Learning (ML), Cloud, Robotics, Cyber-security, Data, Analytics, SOC, SASE, among other technology topics