CCI approves Yum Restaurants, Devyani International Ltd deal

The Competition Commission has approved proposed combination between Yum Restaurants and Devyani International Limited, the Corporate Affairs Ministry said on Monday.

The deal involves "acquisition of certain equity shareholding and sale of certain KFC restaurants", the ministry said in a release.

Yum Restaurants is a part of the US-based Yum! Brands Inc. and runs restaurants under three brands -- KFC, Pizza Hut and Taco Bell -- in India. Devyani International is one of the franchisees of Yum Restaurants and runs KFC and Pizza Hut and Pizza Hut Delivery restaurants in certain territories of India.

According to a CCI notice, Yum Restaurants is transferring the business of "running, maintaining and operating 61 KFC restaurants located in the states of Karnataka, Telangana and Andha Pradesh (except Hyderabad)" to Devyani International.

The book value of the assets of the business undertaking comprising of 61 KFC restaurants is less than Rs 350 crore, the notice said.