June 2019 \ Business & Investment \ BUSINESS AND GOVERNANCE
McDonald’s acquires Connaught Plaza Restaurants

Food service retailer McDonald’s India has acquired Connaught Plaza ...

  • Mr Vikram Bakshi

Food service retailer McDonald’s India has acquired Connaught Plaza Restaurants Pvt Ltd (CPRL) as the firm completed a settlement reached with former joint venture partner Vikram Bakshi. May month’s development assumes significance as it ended a dispute with its joint venture partners with whom the firm had formed the CPRL, which managed the McDonald’s outlets in North and East India with 165 outlets. In 2017, the food service retailer ended the franchise agreement with CPRL over non-payment of royalties which resulted in a legal battle. Lately, reports had emerged that the two partners were trying to reach an out-of-court settlement. Accordingly, the firm has decided to temporarily close McDonald’s restaurants in North and East India to conduct a comprehensive assessment of operational protocols and employee training. “The existing managers and crew will continue to be employed during this temporary closure and will be actively involved in activities to re-open the restaurants.”




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