The income fund that operates over 400 KFC, Taco Bell and Pizza Hut restaurants in seven provinces has sold a Toronto salad processing plant to an unnamed buyer for $11.5 million.
Priszm Income Fund said Thursday that the proceeds from the sale will go to help pay for upgrades needed to secure renewed franchise agreements for 75 of its restaurants in 2010.
Toronto-based Priszm previously said it plans to spend over $15 million in 2010 on such upgrades.
“By the end of 2010, Priszm will have more than 150 restaurants with long-term franchise agreements in place and 195 restaurants that meet the franchisor’s current brand and image standards,” the company said Thursday.
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Priszm now operates 444 quick-service restaurants in seven provinces other than Saskatchewan, Newfoundland and P.E.I.
Of those restaurants, Priszm said previously, just 120 currently meet the “brand and image standards” of the parent franchisor, Yum! Brands. Of those 120, Yum has granted Priszm renewed 10-year franchises on 69.
Priszm on Dec. 14 also announced plans to “transition” responsibility for marketing KFC in Canada back to Yum! Canada, which grants KFC, Pizza Hut and Taco Bell franchises in Canada.
The now-sold Toronto food processing facility, which operates under the brand name Sequel, provides salads to KFC restaurants across Canada and to “other third parties,” Priszm said Thursday in iats release.
A Priszm spokesperson wasn’t immediately available Thursday to say whether the plant’s buyer would be named.
