Operating 1,700 franchised, licensed and company-owned
) presently remains on an expansion spree both on domestic and
international fronts. The company foresees a large untapped
potential for expansion outside of the U.S.
The restaurateur has recently signed a deal with a franchisee
- Advance Investment LLC - to enter into the market of Middle
East. Per the agreement, Advance Investment will set up 30
Denny's outlets across the region over the next 10 years. The
financial terms and conditions of the deal have not been
The outlets will be located in United Arab Emirates (UAE),
Saudi Arabia, Qatar, Bahrain, Kuwait, Egypt, Lebanon, Iraq and
Jordan. The first unit is slated for a 2015 opening in UAE.
Middle East is now becoming one of the most dynamic and
flourishing economies with rapid urbanization. Hence, the opening
of the first outlet is strategically apt.
Advance Investment LLC is an affiliate of the Middle
East-based franchise investor, Food Quest Restaurant Management
LLC. Food Quest has superior local market knowledge and a proven
track record of operating a few leading restaurants like Gourmet
Burger Kitchen, Zambar Coastal Kitchen, Punjab Grill & Asia7
in the Middle East market. Encouraged by strong international
response to the brand, the franchise partner is keen on working
with one of America's largest full-service family restaurant
Denny's made its first appearance outside the U.S. in 1966 by
opening an outlet in Mexico. Since then the company has expanded
its presence across 11 countries including Canada, Chile, Costa
Rica, Curacao, Dominican Republic, El Salvador, Guam, Honduras,
Mexico, Puerto Rico and New Zealand. At present, Denny's has
about 100 units abroad. Currently, the company is developing 60
units targeting the international market.
Denny's holds a Zacks Rank #4 (Sell). Investors interested in
the restaurant industry may consider stocks like
Fiesta Restaurant Group, Inc.
The Cheesecake Factory Inc.
Cracker Barrel Old Country Store, Inc.
). While Fiesta Restaurant sports a Zacks Rank #1 (Strong Buy),
The Cheesecake Factory and Cracker Barrel have a Zacks Rank #2
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