Food chain operator Jollibee Foods Corp. (JFC) said Tuesday it is increasing its investments in Titan Dining LP, the private equity fund owning the Tim Ho Wan brand and stores.
JFC said in a disclosure to the stock exchange its wholly-owned unit Jollibee Worldwide Pte. Ltd. (JWPL) is expanding the fund size of Titan to SG$450 million (about P18.9 billion) from SG$350 million.
It will use the bigger fund size to finance the store network expansion and working capital requirements of Tim Ho Wan and facilitate the completion of other projects.
JWPL will also hike its stake in Titan to 92 percent from 90 percent as it acquires the participating interest of another limited partner in the fund for SG$7.7 million.
JWPL’s total commitment to the fund amount to SG$414 million.
“These amendments are necessary to support the growth expansion of Tim Ho Wan, other brands and other future food and beverages concepts that will be part of Titan’s portfolio,” JFC said.
JFC earlier said it planned to aggressively expand Tim Ho Wan in China with a target of reaching 100 restaurant outlets in the middle term.
Tim Ho Wan operates 78 outlets in Asia, mostly franchised stores with the largest concentration in China with 40 (19 in PRC, 16 in Taiwan, 5 in Hong Kong and 2 in Macau), Singapore with 11 and the Philippines with 9.
Aside from Tim Ho Wan, Titan also operates Singapore brands Tiong Bahru Bakery and Common Man Coffee Roasters (CMCR).
Other brands in the Titan’s food and beverage segment are Open Farm Community, Tippling Club, Noka, Bochinche, The Butcher’s Wife and Drunken Farmer.
Titan’s F&B segment had 34 outlets across seven brands in Singapore, Malaysia and the Philippines as of end-November 2023.
JFC initially invested SG$45 million in Titan in May 2018 to own a 45-percent participating interest in the fund. The deal came with an option for Jollibee to eventually acquire a substantial ownership of Tim Ho Wan’s master franchise in the Asia Pacific region through a purchase mechanism provided for in the investment agreement.