MIT has invested ₹92 crore in the QIP, making it the largest investor in the fundraising round. The investment was made through its private university endowment fund, a move that is unusual for MIT, as it typically focuses on startups rather than established businesses. Along with MIT, several other major investors, including SBI Multi Asset Allocation Fund, Arisai Asia Fund, and Mercer QIF Fund Plc, participated in the fundraising round, which saw a total of 23 investors.
The funds raised through the QIP will be used to expand Burger King India’s footprint by opening new stores, reducing debt, and meeting general corporate expenses. This investment is significant for the QSR sector, which is seeing increasing foreign interest as India continues to grow as a key market for international brands.
Despite the positive outlook, Burger King India has faced some recent challenges. The company currently operates 510 stores, including its brands Burger King, Popeyes, and Tim Hortons. In the December quarter, its same-store sales declined slightly by 0.5% YoY. Additionally, its net loss widened to ₹50.3 crore from ₹36 crore the previous year. However, revenue still grew by 5.8% to ₹639 crore.
The Indian QSR market is expected to recover in the upcoming fiscal year, with demand expected to rise and pricing strategies set to improve. Burger King faces competition from other major brands like McDonald’s, KFC, Domino’s, and Pizza Hut, but experts believe the sector will see a revival, especially in the second half of the year.