Jollibee Increases Stake in Tim Ho Wan to 85%, Will Pay P1.3 Billion in Cash
Despite lower sales due to lockdowns around the world, Jollibee continues its global expansion with its latest development: increasing its already 60-percent interest in the holding firm of Michelin-starred Tim Ho Wan to 85 percent, effectively having majority control over the critically acclaimed dim sum brand.
The holding firm in question is Aragon Investments SPC of Titan Dining LP. Through Jollibee Worldwide Pte Ltd., Jollibee Group will cash out SGD$36.3 million (P1.3 billion) for the purchase.
Jollibee has been eyeing Tim Ho Wan for years, but it wasn’t until 2018 that it actively invested in Titan by investing SGD$45 million, which was equivalent to 45 percent of the total fund size. That marked the beginning of Jollibee’s goal to secure the Tim Ho Wan master franchise in the Asia Pacific region, which covers stores in Singapore, Cambodia, Indonesia, Japan, Macau, Taiwan, Thailand, Vietnam, Australian, and the Philippines.
Part of the deal was for Jollibee to open the first-ever Tim Ho Wan store in Mainland China, which Jollibee accomplished in September 2020. By 2019, Jollibee’s investment size ballooned from SGD$45 million to SGD$120 million after the Titan fund size doubled to SGD$200 million. Jollibee’s investment was by then at 60 percent, until it increased once more to 85 percent in 2020.
Aside from its signature brand Jollibee and Tim Ho Wan, JFC operates over 5,800 stores around the world, ranging from homegrown brands like Mang Inasal and Chowking to international brands like Smashburger and the Coffee Bean and Tea Leaf. What was once a small Filipino restaurant has now grown into a global empire that plans to be one of the top five restaurant brands in the world.