Saudi Arabia's Alhokair signs master franchise with Subway and Secrets

The company said it had signed agreements with the global sandwich shop chain, under which it will open 145 Subway stores in six years, and will open the kingdom's first outlets of the Lebanese bakery Secrets

  
People sit at David Burke's restaurant, in The Zone restaurant complex, in Riyadh, Saudi Arabia August 25, 2021. Image used for illustrative purpose.

People sit at David Burke's restaurant, in The Zone restaurant complex, in Riyadh, Saudi Arabia August 25, 2021. Image used for illustrative purpose.

REUTERS/Ahmed Yosri

Saudi Arabian entertainment and hospitality company Fawaz Abdulaziz Alhokair Co (Alhokair) has signed master franchises with global sandwich shop chain Subway and Lebanese baker and patisserie Secrets.

In a statement to the Saudi Stock Exchange (Tadawul) Alhokair said the new agreements are in line with its strategy to transition to a lifestyle retailer while expanding its food and beverage (F&B) portfolio.

Under the agreement, the company said it will capitalise on the existing 210 Subway restaurants in the kingdom, and plans to expand aggressively, adding a further 145 stores within six years.

The company will also introduce the Lebanese bakery brand Secrets to the kingdom.

“Alhokair’s immediate plans for the new brand range from opening physical stores complemented by a delivery leg, adding a catering service, and vertically integrating it with its existing brands specifically coffee shops,” the statement said. 

“The new franchise acquisitions are aligned with the company’s commitment to an omnichannel approach and digitalisation strategy, with a focus on scalability, multi-format outlets and swift adaptability to online sales.”

(Reporting by Imogen Lillywhite; editing by                
Seban Scaria)

imogen.lillywhite@refinitiv.com 

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© ZAWYA 2021


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