SouthAfrica.info (Johannesburg)

South Africa: Burger King, Sasol in SA Expansion Deal

South African petrochemicals giant Sasol has signed a deal with global fast-food company Burger King which will see the hamburger chain opening sit-down and takeaway restaurants at Sasol's fuel station forecourts countrywide.

Burger King opened its first South African restaurant in Cape Town in May this year.

The deal allows Burger King South Africa to open stores across Sasol's national fuel retail network and will award opportunities to current and potential Sasol franchisees.

"The agreement with Sasol allows us to position our brand across new channels and therefore expand our number of guests and restaurants in South Africa, as well as offering a new way of enjoying our products to clients across the country," Burger King president for Europe, the Middle East and Africa, Jose Cil, said in a statement on Monday.

It also supports the company's expansion plans. "Partnering with Sasol supports our rapid expansion plans and will enable us to increase our growth potential in South Africa in the next few years," said Burger King South Africa CEO Jaye Sinclair.

Burger King South Africa was formed as a joint initiative between Burger King Worldwide and Western Cape-based gaming and leisure firm Grand Parade Investments.

"The national roll-out will commence towards the end of 2013 and will further enhance our job creation initiative," Sinclair said.

"Partnering with Burger King, one of the leading quick service restaurant (QSR) brands, is in line with our strategic vision and and will allow us to expand our retail footprint in South Africa," said Sasol Oil managing director, Alan Cameron.

"This collaboration will allow two leading brands to leverage each other's strengths and capabilities."

Partnering fuel retail groups and QSR brands is an increasingly common international trend as it offers both parties a point of differentiation and competitive advantage, according to Grand Parade Investments chairperson, Hassen Adams.

"There is a natural symbiotic relationship between Burger King South Africa and Sasol with both companies focused on creating future franchise opportunities for local South Africans," he said.

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