The United States fast-food franchise giant, Flynn Restaurant Group, is set to take on industry front-runner Domino’s in the Australian market following their acquisition of Pizza Hut Australia from private equity firm Allegro Funds.
The sale, set to be finalized by the end of July, would see Flynn Restaurant Group taking control of the Australian market in the competitive fast food market.
Flynn Restaurant Group, which is already a market leader across the US with well-known Franchises, such as Taco Bell and Wendy’s, is looking to challenge the foundations of Domino’s dominance across the Australian market.
As the vast majority of the Australian fast-food market is currently held by two of the big players, Domino’s and McDonald’s, Flynn Restaurant Group are looking to capitalise on the existing lines of trade.
Ron Bellamy, co-COO of Flynn’s, informed The Australian that he believes Pizza Hut Australia and its CEO Phil Reed have been performing remarkably, yet they still have the potential to achieve more.
“If you ask me if there is an opportunity to participate more broadly in the quick service food business in Australia, my answer is that the opportunity exists and is definitely something to consider when the time is right. Moreover, I hope that we can bring some investment and draw from our experiences in the US to aid us,” Mr Bellamy said.
In April 2018, Mr Reed ventured into his new role as the head of Pizza Hut Australia, increasing the company’s control in the fast-food sector from seven to around 10 per cent. The chain has opened a total of 23 new stores across Australia over the last two years, with 251 stores intact up to the tenth of May.
