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KUALA LUMPUR: Berjaya Food Bhd has announced its newest partnership with Paris Baguette Singapore plc, a French-inspired bakery founded in South Korea that will be opening its first outlet in the Klang Valley by year-end.
Chief executive officer Datuk Sydney Quays said under the terms of the agreement, Berjaya Food will have 50 per cent ownership and will be the principal operator of the Paris Baguette stores locally.
"Both Berjaya Food and Paris Baguette have put in about RM15 million each bringing to a total of RM30 million,” he told reporters here today.
Sydney said that during this 10-year agreement, they plan to open 50 or more outlets across the country.
"Based on our Starbucks record, we estimated 25 outlets a year but after years of operating, we have opened 40 to 45 a year. it just depends on where the opportunity lies,” he added.
Paris Baguette has over 3,400 stores in more than 440 locations in South Korea, the United States, China, France, Vietnam, Indonesia, Cambodia and Singapore. Malaysia will be its eighth global market.
"We know that the acceptance level will be very high, therefore we are very particular on the location of the first outlet.
"In every country that the Paris Baguette has opened, it has done well. The acceptance level in Indonesia has been tremendous. We know that if we do that here it would be the same," he said.
This strategic partnership is also a part of Berjaya Food’s broader retail push to be a more inclusive food and beverages group on the Main Market of Bursa Malaysia. - Bernama