MTY Food Group

MTY Food Group Inc.
Traded as TSX: MTY
Founded 1979
Founder Stanley Ma
Headquarters Montreal, Quebec, Canada
Key people

Claude St-Pierre CFO,SEC,DIR
Stephen A. Stone DIR
Murat Armutlu DIR

Jason Lin DIR
Revenue $2.0 billion systemwide
Increase$101.36 million (2013)[1]
systemwide $725.8 million
Increase51.40 million (2009)[2]
systemwide =$400 million [3]
Divisions MTY Tiki Ming Enterprises
Taco Time Canada Inc. (founded as taco foods ltd., 1977)
Country Style Food Services Holdings Inc. (founded 1962)
Yogen Fruz Canada Inc. (founded 1986)
Website MTY Food Group

MTY Food Group is a Canadian franchisor and operator of numerous quick service restaurants operating under 48 brand names, some of them through wholly owned subsidiaries. They include Thaï Express, Country Style, Groupe Valentine, Vanelli's, Extreme Pita, Cultures, La Cremiere, Sushi Shop, Veggirama, Caferama, O'burger, Tiki Ming, Vie & Nam, Au Vieux Duluth Express, FranxSupreme, ChicknChick, Croissant Plus, Koya Japan, Kim Chi, Panini, Tandori, Tutti Frutti, Villa Madina Mediterranean Cuisine, Sukiyaki, Taco Time, Yogen Früz and the Canadian branch of TCBY.

Among the largest acquisitions made by MTY is the Mr. Sub franchise; at the time it was a chain of 335 sandwich shops.[4]

The number of restaurant locations using those brand names more than doubled between 2007 and 2010.[5] Since opening the first Tiki Ming restaurant in 1984, MTY launched ten brands and acquired sixteen others. Four of the restaurant chains—Vanelli's, Caferama, Sukiyaki, and La Cremiere—also operate in the Middle East.[6] There used to be a computer and technology division named Gold Tech Computer Systems Ltd., but it was spun off in 2003, renaming itself MTY Food Group Inc.[7]

Most of its restaurants are located in shopping mall and cinema food courts while others are in convenience stores. The company owes much of its growth to corporate takeovers (in 2013 80% of the company's revenue growth was attributable to acquisitions).[1][8][9] It operates in Canada, United Arab Emirates, Jordan and Morocco and in 2009 revenue from franchise fees increased 75%.[10][11] It joined the Toronto Stock Exchange as a debt-free company in June 2010. Prior to this it traded on the TSX Venture Exchange for 15 years under four different names.[10][12][13]

On May 21, 2010, president, CEO, and chairman of MTY Food Group Stanley Ma opened the Toronto Stock Exchange.[14]

In May 2016, MTY announced a friendly takeover deal with the Kahala Brands Ltd restaurant franchise company (2,800 stores worldwide). MTY could therefore add 18 American brands to its portfolio, including Cold Stone Creamery, America's Taco Shop and Kahala Coffee Traders. MTY will pay about US $300 million to acquire Kahala. The two companies generated near $2 billion in revenues in the previous year.[15]


In 1979, 29-year-old Stanley Ma opened a restaurant called Le Paradis du Pacifique on St. Martin Blvd in Laval, 11 years after he arrived in Canada from Hong Kong. In 1984 he opened the first of 56 Tiki Ming restaurants in Canada in Montreal's Rockland Mall.[12] In 1986 the predecessor company was incorporated as Golden Sky Resources Inc. and publicly traded on the Vancouver Stock Exchange (now the TSX Venture Exchange) in February 1989. The name of the company was later changed to Golden Sky Ventures International Inc., then to iNsu Innovations Group Inc., and then to its current name MTY Food Group Inc.[16] It moved from the TSX Venture Exchange to the TSX exchange under the symbol MTY in May 2010.[17]

On November 30, 2010 the company created two new subsidiaries when it combined five former ones. Country Style Food Services Holdings Inc., Buns Master Bakery Systems Inc. and Melody Farms Specialty Foods & Equipment Limited were regrouped into one subsidiary, the other came from Mrs. Vanelli's Restaurants Limited and MTY Tiki Ming Enterprises Inc. The move improved short term cash flow by enabling it to take advantage of non-capital tax losses quicker.[18]

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 q2 2016
Number of locations 248[19] 287[19] 420[20] 428[21] 784[22] 825[23] 1,023[24] 1,570[25] 1727 1893[26] 2251[27] 2590[1] 2727 2792 5488[28]


Yogen Fruz Canada, Yogen Fruz originally before it was globalized, is now a part of MTY Food Group

Manchu Wok

In December 2014, MTY said it would pay $7.9 million from cash on hand to acquire the business, which had 133 stores in its operations, 114 of which were franchised and 19 corporately owned. During its most recent completed fiscal year, the network generated approximately $95 million in system sales.

Café Van Houtte

Deal completed November 7, 2014 involves 51 franchised stores all located in Quebec from Keurig Canada.

Café Dépôt, Sushi Man, Muffin Plus, and Fabrika

MTY Food Group announced on July 8, 2014 that it has completed the acquisition of the assets of Café Dépôt, Sushi Man, Muffin Plus, and Fabrika. The total consideration for the transaction was $13.9 million, paid from MTY's cash on hand and existing credit facilities. At closing, the chains were operating 101 stores, including 13 corporately-owned stores.

Madison New York Grill & Bar

Deal completed July 18, 2014 involved 14 franchised stores all located in Quebec. The acquisition gave the parent company another $40 million in system-wide sales. Cost of the transaction was $12.9 million.


Deal completed on May 31, 2013. Total of 5 outlets.

Mr Souvlaki Ltd

The 14 stores were acquired on November 26, 2012. 13 of the locations were in Ontario, the other was in British Columbia. At the time of the takeover system-wide sales were $4.5 million.[29]

Country Style

Country Style was acquired when it had 488 locations, in April 2009 for $7.7 million in cash and $6.9 million in debt.[10][30]

Groupe Valentine Inc.

Groupe Valentine Inc. is a Saint-Hyacinthe, Quebec-based quick service restaurant chain specializing in hot dogs, fries and hamburgers, similar to MTY's Franx Supreme restaurant chain. At the time, all 95 locations (86 franchised and 9 corporate owned) were in Quebec, most in rural areas. The brand rights were purchased in August 2010 in a $9.3 million deal that included a distribution centre among seven retail properties.[31][32] The agreement was made in August however the deal didn't close until September 2010.

La Crémière

Under the name iNsu Innovations, it acquired the franchise rights to the brand La Crémière in November 2001, which oversaw 74 locations (all were in Quebec at the time). The naming rights which also included Beaver Tails, brought the company's system-wide sales up to $50 million.[33]

Mrs. Vanelli's

MTY acquired the franchise rights used by 105 Mrs. Vanelli's locations in 2004 (when it had annual sales of $34 million) from Donato Food Corp.[34] It operates under subsidiary Tiki Ming Enterprises.

Thai Express

Thai Express was acquired in 2004 from Tara Fung Holding Inc. of Montreal through then subsidiary Matoyee Enterprises Inc.[35]

Yogen Fruz

MTY owns exclusive Canadian franchise rights to Yogen Fruz for 20 years that began in 2006 due to a $13 million agreement made with Coolbrands International.[36]

Extreme Brandz

On May 28, 2013, MTY Food Group Inc., said that its subsidiary MTY Tiki Ming Enterprises Inc. has struck an agreement to buy the assets of Mississauga Ontario-based Extreme Brandz, owner of Extreme Pita, PurBlendz and Mucho Burrito, for $45-million (U.S.) from the three co-founders, Alex Rechichi, Mark Rechichi and Sean Black.[37] Extreme Brandz's 40 U.S. stores will be MTY’s first stores in the United States. Of the 364 stores acquired 5 are corporately owned.



See also


  1. 1 2 3 "MTY 2013 AR" (PDF). February 12, 2014.
  2. "financial statements for mty food group inc.". Retrieved 2010-07-030. Check date values in: |access-date= (help)
  3. "MTY Food Group Opens the Market". 2010-05-21.
  4. Blackwell, Richard (August 18, 2011). "MTY Food swallows Mr. Submarine". The Globe and Mail. Toronto:
  5. "MTY Food Group increases revenue in q1". 2010-04-07.
  6. 1 2 "insu innovations group inc. announcement". 2003-06-09.
  7. "iNsu Innovations Group Inc.: Announcement". businesswire. 2003-06-09.
  8. "2nd quarter results MTY Foods Inc.".
  9. "Quebec chain of restaurants gobbled up by MTY Food Group". 2010-08-16.
  10. 1 2 3 "MTY food group headed to the tsx". 2010-05-04.
  11. "2nd quarter results MTY Foods Inc.". Retrieved 2010-07-03.
  12. 1 2 3 king of the food courts, Montreal Gazette, 2007-01-08
  13. "MTY Food Group ci". Retrieved 2010-07-01.
  14. "MTY Food Group opens the market". 2010-05-21.
  15. Canadian Press, MTY Foods set to double in size with acquisition of Kahala Brand, Montreal Gazette, May 25, 2016
  16. "TSX Venture company summary". Retrieved 2010-07-03.
  17. "Standard & Poor's Announces Changes in the S&P/TSX Venture Composite Index". 2010-05-11.
  19. 1 2 "MTY Food Group Inc.: 2003 Year End Results". 2004-03-09.
  20. "2004 year end results". 2004-11-30.
  21. "third quarter results". 2005-10-13.
  22. "2005 year end results". 2006-03-07.
  23. "3rd quarter". 2007-11-30.
  24. "mty food group incorporated". corporate information. Retrieved 2010-07-03.
  25. "MTY Details". google. Retrieved 2010-07-03.
  26. "MTY Food Group's Q3 revenue up 21%". 2011-10-04.
  27. 1 2 "MTY completes acquisition of Koryo Korean BBQ Franchise Corporation". November 11, 2011.
  28. "MTY Food Group Doubled In Size". 2016-07-29.
  29. "MTY completes acquisition of Mr. Souvlaki Ltd.". September 26, 2012.
  30. "Montreal's MTY buys Country Style doughnut chain". 2009-04-13.
  31. "MTY Food Group tightens grip on Quebec with Groupe Valentine purchase". August 16, 2010.
  32. "MTY to Acqire 95-Unit Groupe Valentine". 2010-08-17.
  33. "iNsu Innovations Group Inc.: Acquisition of 100% of 'La Cremiere' Ice Cream Bar From Agropur". 2001-11-05.
  34. "MTY Food Group Inc.: Mrs. Vanellis Acquisition Closed". Business Wire. business wire. 2004-06-21.
  35. "MTY Food Group Inc.: Thai Express Acquisition Closed". all business. 2004-05-20.
  36. "Yogen Fruz changing hands". 2006-02-20.
  37., May 28, 2013
  39. "cultures sandwich and salad quick service". Retrieved 2010-07-03.
  40. "koya japan acquisition". Reuters. 2006-10-20.
  41. "Le Groupe MTY fait l'acquisition de Sushi Shop". canoe. 2006-07-21.
  42. "MTY takes over Taco Time in Canada". Restaurant News. Retrieved 2008-10-31.
This article is issued from Wikipedia - version of the 10/29/2016. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.