KUALA LUMPUR (March 5): Fast food chain A&W Malaysia Sdn Bhd has allocated RM25 million as capital expenditure (capex) to open about 15 outlets and refurbish between five to six existing restaurants this year.

Chief executive officer George Ang said the company plans to increase the number of outlets in Malaysia to 60 by end-2019 and to 100 by 2021.

“Our vision is to be a strong top-three player in terms of the number of outlets in the Malaysian fast food industry.

“We should be at around the top three or fourth position by the time we hit 100 outlets in two years time,” he told reporters after launching the 47th A&W outlet at EkoCheras Mall here today.

Moving forward, he said the company targeted to open an additional 20 A&W outlets next year, of which eight would be drive-through restaurants.

“Currently, we have about four drive-through restaurants and will emphasise more on this next year. Melaka, Johor Bahru and Taiping are among locations for the drive-through outlets in 2020,” he added.

Ang, who is also the CEO of Inter Mark Resources Sdn Bhd, divulged that the cost for setting up a drive-through restaurant would be 30% higher than that of a normal restaurant, at around RM1.2 million to RM1.5 million each.

Last July, KUB Malaysia Bhd's wholly-owned subsidiary Restoran Kualiti Sdn Bhd (RKSB) disposed of its entire interest in A&W Malaysia to Inter Mark Resources Sdn Bhd for RM34 million.

The figure comprises RM30 million for A&W’s entire equity interest and RM4 million for reimbursement of intercompany balances. — Bernama