Sagar Ratna founder Jayaram Banan has regained control of the restaurant chain by buying out stake held by private equity firm India Equity Partners for an undisclosed amount. He had sold 77 per cent stake in Sagar Ratna in 2011 to the PE firm for Rs 132 crore but retained 22.7 per cent. JRB Group, the owner of the chain now plans to expand presence of the chain in India under various business models.
“We plan to open over 25 Sagar Ratna restaurants during the current financial year. They will be both company owned and under the franchise model,” JRB Group Chairman Jayaram Banan told PTI. The aim is to open at least 2 restaurants per month, he added. However, he declined to comment on the value of the transaction.
After selling 77 per cent stake to India Equity Partners, trouble had erupted due to differences between the founder and the PE firm over governance and quality issues. IEP had been reported to be working to exit from the restaurant chain. Banan, who had founded Sagar Ratna in 1986, also has another restaurant chain under the Swagath brand. The group also runs hotels under the Ocean Pearl brand and is also aiming expansion with opening of a hotel each in Hubli and Bengaluru.