SINGAPORE - BreadTalk, which manages the BreadTalk and Toast Box chains, is planning to cook up a storm in China and Thailand with the popular Song Fa Bak Kut Teh restaurant.
BreadTalk said on Monday (July 3) that it has entered a joint venture agreement with Song Fa Holdings, which owns seven bak kut teh outlets here and four in Jakarta, Indonesia.
BreadTalk unit Together Inc will own 90 per cent, and Song Fa 10 per cent of the joint venture, which will enter "a master franchise to develop and operate the highly popular Teochew bak kut teh brand in Thailand, as well as four major cities in China, comprising Beijing, Shanghai, Shenzhen and Guangzhou".
The first Song Fa Bak Kut Teh restaurant is expected to open in Shanghai in the last three months of this year (2017).
Next year (2018), the plan is to open two restaurants in Thailand, and three more in China.
BreadTalk chief executive Henry Chu, who took on the role on July 1, said in a statement: "With our experience in operating renowned brands over the last 17 years globally, we hope to deliver the much acclaimed Song Fa Bak Kut Teh dining experience to new customers overseas."
BreadTalk will contribute in areas such as business development, central kitchen management and frontline execution.
The investment is not expected to have any material impact on the earnings per share and net tangible assets of BreadTalk for the financial year ending Dec 31.