Collins Foods Limited has completed the acquisition of the 13 KFC restaurants located around the New South Wales and Victorian border.

The deal is valued at $25.46 million plus acquisition costs, including $10 million in Collins Foods shares.

The restaurants are being purchased from local companies Chrikim Pty Ltd, Skeeter Wright Pty Ltd and Geoff Wright Corp Pty Ltd.

“We are delighted to have completed this acquisition and are looking forward to welcoming and working with the Wright Group employees,” said Graham Maxwell, Collins Foods’ managing director and CEO.

Maxwell said the completion of the acquisition takes the total of KFC outlets owned by the company to 191 across Queensland, Western Australia, the Northern Territory, New South Wales and Victoria.

Maxwell said earlier that given Collins Foods’ experience operating KFC restaurants in Australia, they expect to be able to drive synergies and margin improvement.

“This acquisition, without factoring any margin improvement or synergies, will be immediately earnings per share accretive and enhance shareholder value,” Maxwell said.

The fastfood restaurant operator also bought Competitive Foods’ 42 KFC restaurants in Western Australia and the Northern Territory a few years ago.

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