Jumbo Group takes 20% stake in Xi’an restaurant joint venture

[SINGAPORE] Chill crab purveyor Jumbo Group has entered into a joint venture (JV) with a Chinese company to operate a restaurant in Xi’an.

A Jumbo unit will take a 20 per cent stake in the JV company for 300,000 yuan (S$55,300), while its partner, Beijing Hualian F&B Management Co, will hold the remaining 80 per cent with a registered capital of 1.2 million yuan.

The JV will operate a restaurant under the Jumbo Seafood brand in Xi’an, the group said in a bourse filing on Thursday (Jan 22).

Jumbo’s investment will be funded through internal resources and is not expected to have a material impact on the group’s performance for the financial year ending Sep 30.

The food and beverage operator has seven outlets in Singapore and nine in China, based on information on its website. It also operates six outlets in Seoul, Bangkok, Ho Chi Minh City and Phnom Penh, bringing its total restaurant count to 22.

“Xi’an remains a sizeable regional city where the group believes the Jumbo Seafood brand continues to have relevance and appeal,” the company said.