New Delhi, March 31 Jubilant FoodWorks Ltd, the country's leading quick service restaurant chain operator, has decided not to renew its franchise agreement with Dunkin' and will close down Dunkin' stores in a phased manner.
According to a regulatory filing by the Bharatia family-promoted entity, the Multiple Unit Development Franchise Agreement (MUDFA) dated February 24, 2011, between JFL and Dunkin' will expire on December 31, 2026.
Jubilant FoodWorks Ltd (JFL) stated that its board has decided to "non-renew the development rights granted in MUDFA, which were entered into for the development and operation of the Dunkin' brand in India, upon the expiry of its current development term."
JFL will, in a "phased manner", evaluate and undertake such actions as may be considered appropriate with respect to its existing Dunkin' brand operations, including "rationalization and/or cessation of certain operations and/or sale, transfer or disposal of assets and/or assignment or transfer of franchise rights," in consultation with the owners of the Dunkin' brand.
This will be done strictly in accordance with the terms of the MUDFA, applicable laws, regulatory requirements, and contractual obligations, it said.
Established in 1995, the JFL network comprises over 3,500 stores across six markets – India, Turkey, Bangladesh, Sri Lanka, Azerbaijan, and Georgia.
The group has a portfolio of global brands — Domino's and Popeyes — and two own-brands — Hong's Kitchen and a CAFÉ brand — COFFY, in Turkey.