Americana Restaurants, listed on the Abu Dhabi Securities Exchange and traded in Saudi Arabia, announced the addition of the «MAT King of Chicken» brand to its portfolio through two strategic and comprehensive deals aimed at expanding the company's presence in the quick-service restaurant sector in the region. The company explained that it has signed an exclusive, long-term licensing agreement for 75 years, granting it the rights to develop and operate the «MAT King of Chicken» brand. The agreement covers 13 markets spanning the Gulf Cooperation Council countries, the Levant, North Africa, and Central Asia. In parallel, Americana Restaurants signed a share purchase agreement under which it will acquire 100% of the existing franchise shares of the «MAT King of Chicken» brand in both the United Arab Emirates and Saudi Arabia, which currently include seven restaurants in the UAE and three restaurants in Saudi Arabia. According to the statement, the value of the acquisition deal for the existing «MAT King of Chicken» franchises is approximately $20.8 million, representing a 12-times earnings multiple, and the deal will be fully financed from the company's internal cash liquidity. The company also added that the existing franchises generate annual revenues of around $21.1 million with a net profit estimated at approximately $1.7 million. The acquisition deal is expected to be completed by the end of this February, subject to the satisfaction of customary closing conditions and the receipt of necessary regulatory approvals. «MAT King of Chicken» is a Lebanese family brand founded in Beirut in 1996, and it includes over 45 restaurants in Lebanon and 19 restaurants in the Middle East, in addition to having opened restaurants in France and Canada.
