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UK's Dixy Chicken to open restaurant chain soon

R. Ravikumar

Plans at least 80 outlets in first 3 years


The company has chosen the franchisee route to set up its outlets in India.

Chennai March 12 On the heels of global fast-food brands such as McDonald's, Subway, KFC, Pizza Hut, the London-based Dixy Chicken is entering India. According to Mr Amjad Ali, Chairman of Dixy Chicken, London, the company along with the Pan Ban group has formed a joint venture — Dixy Chicken India Pvt Ltd — for the purpose.

A range of foods

"Unlike other fast food chains in India, Dixy Chicken would offer a range of foods (both vegetarian and non-vegetarian) from pizzas to salads and ice-creams to desserts in addition to the brand's flagship food: fried chicken," Mr Ali told Business Line on the sidelines of the Franchising Summit held last weekend in New Delhi.

The company plans to open at least 80 restaurants across the country in the first three years.

"We are planning 20 restaurants in Tamil Nadu and Puducherry, 20 in Andhra Pradesh and 20 in Karnataka, 10 in Kerala and 10 in other major cities including Delhi, Kolkata and Shimla," said Mr Rajat Pandhi, Managing Director of Dixy Chicken India Pvt Ltd.

According to Mr Pandhi, the company has chosen the franchisee route to set up its outlets here.

As the first step, Dixy Chicken India has signed up AB Resorts & Restaurants Pvt Ltd, owned by the Chennai-based Parveen Travels, and restaurant chain Dhabba Express as master franchisees for the South. "Dixy Chicken India will invest around $3 million in a phased manner for creating necessary infrastructure such as a supply chain," Mr Pandhi said.

While AB Resorts will be the master franchisee for Tamil Nadu and Puducherry, Dhabba Express would handle Andhra Pradesh and Karnataka.

According to Mr A. Afzal, Managing Director of Parveen Travels, AB Resorts would open the first Dixy Chicken restaurant over 6,000-sq.ft. on East Coast Road in Chennai.

"The outlet is all set to open on April 14, the Tamil New Year's day," said Mr Afzal. AB Resorts has invested Rs 2 crore in the outlet, which includes a party hall, children's play area and other facilities. The overall investment for the proposed 20 restaurants in Tamil Nadu and Puducherry will be around Rs 20 crore.

According to him, AB Resorts is also on the look out for property in Anna Nagar, Velachery and Adyar, all prime localities in Chennai.

It has been agreed upon to open three outlets in Chennai before the end of 2007, said Mohd Mohsin, Executive Director (South India), Dixy Chicken India Pvt Ltd.

"Dhabba Express would also invest Rs 1 crore on an average in each restaurant and would open 20 outlets in Andhra Pradesh and 20 in Karnataka in three years," Mr Mohsin said.

Before the end of 2007, Andhra Pradesh and Karnataka will have at least three restaurants each, he added.

According to him, all these outlets will be owned by franchisees and run by the franchisor — Dixy Chicken India, on a management basis.

Dixy expects Rs 75,000 business a day on an average from its first restaurant, "and the franchising deal is on a revenue sharing basis", said Mr Mohsin.

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