McDonalds franchisee to become subsidiary of Westlife

Hardcastle Restaurants (HRPL), the master franchise for the south and west operations of McDonald’s restaurants will become a full fledged subsidiary of Westlife Development, a listed company and part of Mumbai based BL Jatia family.

Amit Jatia, Vice-Chairman, Westlife Development, said that with this consolidation exercise within the BL Jatia group companies, Indian investors will be given an opportunity to invest in the McDonald’s business. It will also give the quick service restaurant a chance to raise debt and equity whenever it is required.

The BL Jatia family had indirect holdings in HRPL and this will now get consolidated under a direct subsidiary by merging some of the companies within the group. HRDL recently dissolved its joint venture with Mc Donald’s to become a master franchise for the QSR in India. Westlife Development had been registered as an NBFC and after retiring its license it has been in business of trading and hospitality.

Going forward Westlife Development would be focussing on the QSR business through HRPL, added Jatia. HRPL currently has a sales turnover of Rs 544 crore with profit at Rs 42.5 crore for the financial year ending March 2012.