CVC Capital Partners has acquired a controlling stake in Da Niang Dumpling, a Chinese quick-service restaurant operator in China, according to a CVC statement.
CVC acquired the stake from the founder Wu Guoqiang, who will remain a shareholder.
Financial details were not disclosed.
Da Niang has a network of 440 stores in 19 provinces across China. The brand is a household name in China and the most recognized in the dumpling segment, according to the statement. The company employs about 7,000.
“Da Niang is a leading player in the fast growing Chinese quick-service restaurant sector and the number one dumpling chain operator, with a strong and stable management team,” said Francis Leung, chairman of Greater China and managing partner of CVC, said in the statement.
“Our significant experience in the sector will help solidify Da Niang's market leadership, and we look forward to partnering with the management to take the company to the next level.”
Bo Liu, senior managing director at CVC's Shanghai office, added:”We are particularly attracted by Da Niang's sustainable and scalable business model, clear market leadership, significant growth potential and strong dedication to product quality.”
To assist with scaling consumer businesses, in January CVC appointed Jeremy Hobbins, a retail expert with 30 years of experience, as senior adviser to the pan-Asia team, Private Equity International reported earlier.
In December, CVC and LP co-investors completed the buyout of China-based Education International Cooperation from Actis and the founders. CVC’s stake was worth $200 million, according to media reports.
CVC is currently raising its fourth Asia fund, targeting $3.5 billion. As of February, it had raised $3 billion after nine months in the market, PEI reported earlier.