Archive · 2 Jan 2026
KFC and Pizza Hut Franchisees Merge
Two big companies that run KFC and Pizza Hut restaurants in India are joining together.
This is because their sales are not growing as fast as before.
Other food companies like McDonald's and Barbeque Nation are also having similar problems.
The companies hope that by working together, they can do better in a tough market.
Devyani International and Sapphire Foods, franchisees of KFC and Pizza Hut, are merging.
Sales growth has slowed across the quick service restaurant (QSR) sector in India.
McDonald's franchisee Westlife Foodworld reported 5.2% sales growth and a 1.3% decline in same-store sales growth (SSSG).
United Foodbrands, which operates Barbeque Nation, saw marginal sales decline with SSSG falling 3.4% in Q2 2025 and 2.2% in Q3 2025.
The merger aims to strengthen the companies' positions in a challenging market.
- Who
- Devyani International and Sapphire Foods
- What
- Merger of KFC and Pizza Hut franchisees
- When
- Not specified
- Where
- India
- Why
- Slowing sales growth in the quick service restaurant (QSR) sector
- Companies Involved
- Devyani International and Sapphire Foods
- Brands Affected
- KFC and Pizza Hut
- Industry Impact
- Slowing sales growth in the QSR sector
- McDonald's Performance
- 5.2% sales growth, 1.3% SSSG decline
- Barbeque Nation Performance
- Marginal sales decline, 3.4% SSSG decline in Q2 2025, 2.2% in Q3 2025