Devyani International, one of the largest franchise operators in India, has acquired an 80.72 percent stake in Sky Gate Hospitality, the parent company of Biryani by Kilo. The total value of the transaction is Rs 431.31 crores.
Biryani by Kilo is the biggest property of Sky Gate Hospitality. Other properties of Sky Gate Hospitality, which are also part of the deal, are Goila Butter Chicken and The Bhojan. Sky Gate Hospitality operates 100 outlets in 40 cities through its three brands.
Founded in 1991 by billionaire Ravi Jaipuria, Devyani International operates popular international fast food and beverage brands like KFC, Pizza Hut, Costa Coffee and Vaango in India. It operates over 2030 stores in about 280 cities in India, Nepal, Thailand and Nigeria.
Commenting on the deal, Ravi Jaipuria said that while Devyani International has many international brands under its portfolio, there has been a need to introduce the traditional flavour of Indian food to its menu.
“Sky Gate’s command over flavors and technique of cooking biryani, has enabled them to deliver high-quality and delectable dishes, making them standout and leader in the industry.”, Juipuria said in a statement.
Biryani by Kilo operated by Sky Gate in expansion mode
On the other hand, Biryani by Kilo of Sky Gate Hospitality was started in 2015 by Kaushik Roy and Vishal Jindal. From its modest beginnings, the company has expanded to about 70 outlets in 29 cities across India. Starting with its special Handi Biryani, Biryani by Kilo also diversified its menu by adding Kebab, roasted chicken, and sweets.
Kaushik Roy and Vishal Jindal said that the partnership with Devyani International is the perfect step in the direction of expansion throughout the country. “We are confident that our brands have found the right home for future growth and expansion of Sky Gate portfolio. Together, we aim to combine our knowledge and experience to enhance customer offerings and elevate the overall dining & delivery experience.”, the duo said in a statement.