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- Magellan Financial Group (MFG) has agreed to pay nearly $87 million for a 10 per cent stake in Mexican fast-food chain Guzman y Gomez (GYG)
- GYG has 147 restaurants across Australia, Singapore, Japan and the United States
- However, for the deal to be completed, it will need GYG’s shareholder approval, expected in late January 2021
- On the market today, Magellan Financial Group is up 0.33 per cent and is trading at $55.36 per share
Magellan Financial Group (MFG) has agreed to purchase a 10 per cent stake in Mexican fast-food restaurant Guzman y Gomez (GYG) for $86.9 million.
GYG delivers clean, authentic and fresh Mexican food through its 147 restaurants across Australia, Singapore, Japan and the United States.
“We are extremely pleased to become a shareholder in GYG. Magellan has deep investment experience in the quick-service restaurant industry and we believe
Magellan can both add and gain considerable insights as a major investor and supportive shareholder,” Magellan’s Chairman Hamish Douglass said.
“GYG is a world class business with enormous growth potential and represents a highly attractive investment opportunity for our principal investments business,” he added.
Among the team at GYG is Chairman Guy Rosso, who was the former CEO of McDonald’s Australia and Kmart and Target.
However, for the purchase to be completed, it will need shareholder approval, expected in late January 2021.
“We are incredibly excited to welcome Magellan to the GYG family, GYG founder and CEO Steven Marks said.
“Our ambition is to be the best restaurant company in the world and, to achieve that, we need the support of the best partners and strongest board,” he added.
On the market today, Magellan Financial Group is up 0.33 per cent and is trading at $55.36 per share at 2:21 pm AEDT.
