1 min read.Updated: 15 Dec 2020, 10:14 PM ISTLivemint
McDonald’s might be itching to regain lost ground, but India’s burger boom has had several other beneficiaries, Dunkin Donuts included.
Burger King India Ltd had a second consecutive day of chart-scorching performance, with its shares leaping 20% to ₹166.05 apiece on Tuesday and hitting the upper circuit breaker. The stock had surged 131% on its debut after it was listed on Monday. This was perhaps because its public-offer price of ₹60 was seen as too low. Financial analysts said it was at a discount to peers such as Jubilant FoodWorks, which operates Domino’s Pizza, and Westlife Development, which runs McDonald’s restaurants in west and south India.
Another reason might be Burger King’s expansion prospects after market-leader McDonald’s found its plans stalled by a long-drawn dispute with its joint-venture partner for north and east India. While that alliance came apart and the US-based McDonald’s gained full control, its management deadlock lasted long enough for Burger King to jump in and fulfil the unmet demand for quick-service burgers. The latter may also boast of a health advantage with its wider variety of burger patties. McDonald’s might be itching to regain lost ground, but India’s burger boom has had several other beneficiaries, Dunkin Donuts included.