Private equity firm Blackstone Group is said to be looking for a buyer for its Burger King New Zealand franchise, a business it acquired for close to $108 million in 2011, according to an NZ Herald report.
Burger King currently operates 85 restaurants in New Zealand — 83 of these are owned by Blackstone — and is reportedly making about $20 million in sales each year.
According to the report, Blackstone has mandated Craigs Investment Partners to sell the business.
The sale comes at a time when Burger King is facing turbulence in New Zealand. Last year, Antares Restaurant Group, the company that operates Burger King NZ, was under fire for alleged questionable working conditions.
Burger King workers also staged a number of strikes last year, demanding higher wages and better working conditions. The company was also banned from hiring migrant workers until July this year for breaching the Minimum Wage Act.
Blackstone acquired Burger King NZ through Tango New Zealand by buying out existing shareholders of Anchorage New Zealand Holdings, which owned Burger King then.