The company plans to open and operate restaurants across Estonia, Latvia and Lithuania and expects the expansion to create a total of nearly 800 new jobs in the Baltic states. The company will hold the licence to operate each restaurant for 20 years from opening, Tallink told the stock exchange.
"Tallink made history already in 2016 when the world's first floating Burger King restaurant was opened on the ferry Star. Now we are making history again, bringing the iconic true American-style Whopper burger as well as the rest of the popular Burger King products to the people of Estonia, Latvia and Lithuania," Paavo Nogene, CEO of Tallink Grupp said.
"We have taken a number of steps to expand the activities of Tallink Grupp onshore as well as on the sea and the acquisition of the Burger King franchise across the Baltics is another important step forward with our onshore expansion plans. We are pleased that we are able to leverage the existing internal know-how and competence of our retail and restaurant operations teams. Tallink will continue to seek expansion opportunities onshore and on the sea, both in the Baltic Sea region as well as further afield," Nogene added.
The acquisition of franchise rights will not impair the company's ability to serve its debt and investment commitments. To operate the Burger King restaurants, AS Tallink Grupp has established a wholly-owned subsidiary OU Tallink Fast Food. Establishment of the subsidiary will not affect the consolidated financial results of the group.