Johannesburg - Spur has signed its first Ethiopian Spur Steak Ranch franchise agreement with Cucina Trading, based in Addis Ababa.
Spur Corporation [JSE:SUR] is multi-brand restaurant franchisor group listed on the JSE.
The Spur Steak Ranch, which will be situated at Abyssinia Plaza in the capital, is expected to be operational within six months. A second franchise, Panarottis Pizza Pasta, is expected to open within a year.
“Ethiopia is a dynamic, productive country with one of the highest gross domestic product (GDP) growth rates in Africa. It holds many opportunities for entrepreneurs like our new partners," said Pierre van Tonder, CEO of Spur Corporation in South Africa.
"Spur International plans to have 100 restaurants in Africa outside of South Africa within five years, so it makes sense for us to have a presence in one of Africa’s fastest-growing economies."
Spur International currently has 39 restaurants in 12 African countries north of South Africa, and will soon be opening another two in Arusha, Tanzania, as well as one in Kenya and one in Zambia.
At present the only international eateries in Ethiopia are offered by a few branded hotels. There are no international franchises in the country. The Spur Steak Ranch at Abyssinia Plaza will be the first.
Mulugeta Demissie, managing director of Cucina Trading, is upbeat about bringing the brands of Spur International to Ethiopia.
“We’re secure in our decision to work with Spur International. Their mission to provide outstanding food and excellent service synchronises perfectly with our vision to raise the standards of the hospitality industry in our country and beyond," said Demissie.
Demissie is confident the Spur and Panarottis brands will work well within the history and culture of Ethiopia. Eating meat is a widespread and there is a taste for Italian cuisine in the country, particularly amongst the youth and the middle-income demographic.
The Cucina Trading investment will initially create 60 new jobs in Addis Ababa. Cucina Trading is the newly established sister company to real estate company Noah Real Estate.