Devyani International on Friday announced that it will invest Rs 347 crore in Thailand’s Restaurants Development (RD), which operates 274 KFC restaurants in the country.

The investment, intended to strengthen its balance sheet, will be made through its subsidiary Devyani International DMCC (DID) and group entity Yellow Palm. Part of this investment — Rs 232 crore — will be used to repay the debt the Thai operator owes DID, while the remaining Rs 114.8 crore will be utilised to fund its working capital and capex requirements.

“DID will raise Rs 114.8 crore of convertible loan from the company and take a short-term loan of Rs 232 crore from Axis Bank, Dubai. This loan will be secured by a corporate guarantee of the company and shall be repaid to Axis Bank, Dubai, upon repayment of the existing loan by RD to DID,” the company stated in an exchange filing.

The transaction is expected to be completed by June 30, 2026. After the investment, DID will hold a 49% stake in Restaurants Development, while Yellow Palm will hold the remaining 51% stake. Restaurants Development will operate as a subsidiary of the two companies and parent Devyani.