McDonald's to take over Indian partner's 165 outlets
The fast food giant is set to settle its long drawn dispute with Vikram Bakshi.
McDonald’s is set to secure full control of the operations of around 165 of its outlets in North and East India that are currently being run by Vikram Bakshi’s Connaught Plaza Restaurants (CPRL).
A Times of India source says a handover process is “in progress”, with McDonald’s looking to “renovate and refurbish the outlets and rework the supply chain.”
The partnership between McDonald’s and Bakshi, which led to the birth of CPRL, was signed in 1995 for a period of 25 years. Trouble between the two partners sparked when McDonald’s tried to buy out Bakshi’s 50% stake in CPRL in 2008.
In 2013, McDonald’s accused Bakshi of financial mismanagement and voted against his re-election as the MD of CPRL. Subsequently, Bakshi approached the National Company Law Tribunal (NCLT), which reinstated him as the MD of CPRL.
Both parties on confirmed an out-of-court settlement to the National Company Law Appellate Tribunal (NCLAT).
Read the full report here.
