As reported by media, McDonald’s reached an out-of-court settlement with its estranged partner Vikram Bakshi after a 6-year long legal battle.
Connaught Plaza Restaurants Private Limited (CPRL) is now wholly owned by McDonald’s India Private Limited (MIPL) and its affiliate (McDonald’s Global Markets LLC, “MGM”).
The financial details have not yet been revealed.
Background:
CPRL started in 1995 when Bakshi and McDonald’s shaped a 50:50 joint venture to run McDonald’s outlets in India for a time of 25 years. Their ties went bad in 2008 when the Chicago-headquartered organization attempted to purchase out Bakshi’s 50 percent stake. The situation intensified five years after the fact when Bakshi was removed as the Managing Director of CPRL. The National Company Law Tribunal (NCLT) in this way re-established him and furthermore ceased McDonald’s from meddling in the working of CPRL besides appointing an administrator to oversee its operations.
[Source: The Hindu]
[Image Credits: Business Insider India]