Family sell KFC franchise
ONE of the UK's most successful KFC franchise operations, Marsdens Caterers of Sheffield, which has been operating the fast food outlets throughout the Midlands and South Yorkshire since 1980, has been sold.
Marsdens Caterers, which has a turnover of £17m and employs more than 450 staff at 14 KFC outlets including the UK's largest purpose-built KFC Drive Thru in Glasshoughton, West Yorkshire, has been acquired by Marz, a family business headed by entrepreneur Raja Adil, for an undisclosed sum.
Marsdens Caterers is run by managing director Richard Marsden and his son Matthew, a chartered surveyor.
Commenting on the deal, Richard Marsden said: “We have brought the company a long way since 1980 and I am delighted that the new owner, Raja Adil, will continue our work in ensuring a secure and dynamic future involving exploitation of existing store development opportunities.”
Mr Adil, who already operates 13 KFC franchises in the Midlands, has the full support of KFC (GB). The Adil Family have been in the fast food business for more than 30 years and have ambitious growth and development plans.
The seller's legal advisers were Bob Harrap, Andrew Francey and Victoria Gartland of Lupton Fawcett, Leeds. Bob Harrap, director in the Corporate Finance Department at Lupton Fawcett, added:
“We were delighted to act for the Marsden family on the sale of their company. The deal was an ideal move for both parties in terms of realising the family's investment and ensuring the business's continued development.”
Tax and de-merger work was provided by Jonathan Robinson of Hart Shaw Chartered Accountants in Sheffield.
The deal was initiated and project-managed by Derby-based Smith Cooper Corporate Finance.
John Farnsworth and David Crump of Smith Cooper Corporate Finance, a division of Midlands advisory firm Smith Cooper, advised the Marsden family on the sale of the company.
They provided full project management services which included identifying the buyer, brokering the deal and, in conjunction with Marsdens' accountants, formulating a pre-deal re-organisation in order to extract pig farm and development operations which were hived out and retained.
John Farnsworth, partner of Smith Cooper Corporate Finance said: “We are delighted to have assisted the Marsden family in such a significant and high quality business sales transaction, our eighth in the fast food industry. “The quality of this operation and the unprecedented level of new store development opportunities is testament to the Marsdens' superb management skills.”
Mr Crump added: “Despite the onset of the much publicised retail recession and the credit crunch, we were extremely satisfied with the outcome of the deal. The consideration represents a healthy multiple of earnings, reflecting the quality and size of the operation.”
The KFC operation in the UK is operated under a franchise agreement US quoted fast food giant, Yum! Restaurants International, which owns brands including KFC, Pizza Hut, and Taco Bell.
There are more than 700 outlets in the UK and there is the equivalent of one new restaurant opening every week.
Yum! Restaurants is based in Louisville, Kentucky, and is the world's largest restaurant company with more than 35,000 restaurants in over 110 countries and territories.
