Fast food conglomerate Tricon and its franchisees plan to invest more than US$75 million this year in expansion of KFC and Pizza Hut restaurants in Mexico. The group plans to open a combined total of 100 KFC and Pizza Hut restaurants to extend its market share of the Mexican fast food market. Currently KFC and Pizza Hut have a 30% combined share of the market, with KFC alone enjoying a 21% share.
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Tricon anticipates strong expansion in its franchised restaurants over the next few years. Management expects franchises to approach 50% of the total restaurants over the next few years. As of 1 April, Tricon had 380 restaurants operating in Mexico, of which 90 were franchises
Tricon will supply US$50m of the investment with the remaining US$25m coming from franchisees.
By Steven Lewis, just-food.com correspondent
