US-based investment company NRD Capital has bought the South African family restaurant chain Mike’s Kitchen.
Based in Atlanta, Georgio, NRD Capital is expanding its horizonz as this is the company’s first acquisition in South Africa and on the African continent.
Mike’s Kitchen is the one of the latest acquisition’s by of NRD Capital as the company also made a large investment of R4.7bn to purchase the casual-dining chain Ruby, yesterday.
According to a statement by Aziz Hashim, founder and managing partner of NRD, “Our focus at NRD Capital is to invest in quality brands and provide strategic and operational expertise to create sustainable value,”
“With well-established brands that can be differentiated from their competitors, we are able to identify significant growth opportunities, while taking a long-term view of investing in people, product, and the customer experience."
The investment company’s strategy is to acquire equity within both franchise and non-franchise concepts that offer compelling unit economics and solid opportunities for franchisees.
Mike’s Kitchen’s interim CEO Salim Shermohammed who is also NRD’s representative in Johannesburg, says he is very pleased with NRD’s acquisition. “This (Mike's Kitchen) is a superb company, which turned 45 years-old recently and this iconic brand embodies everything that NRD seeks when it invests in companies," he says.
These acquisitions are NRD’ long-term strategy in South Africa as it plans to acquire and develop many South African, African and International brands over the next five years. The leveraging of power of franchising will create new jobs and business opportunities in various countries.
NRD says it believes that when franchisees and franchisors work together as partners, all parties win.
“According to the McKinsey Global Institute, consumer spending in Africa is projected to reach $2.1trn by 2025,” says Shermohammed, “and NRD is in Africa for the long haul – to invest and re-invest in solid franchise businesses”.