Chipotle Mexican Grill (NYSE: CMG) today announced it has signed its first-ever development agreement to open restaurants in the Middle East and accelerate its international expansion efforts. In partnership with leading international franchise retail operator Alshaya Group, the Company will initially open new restaurants in Dubai and Kuwait early next year before expanding further across the region.
“Leveraging Alshaya’s market expertise will enable us to quickly gain access to these vibrant economies,” said Chairman and Chief Executive Officer Brian Niccol. “We are excited to offer guests in the Middle East our responsibly sourced, classically-cooked real food, and look forward to furthering our purpose to cultivate a better world in this new territory.”
Mohammed Alshaya, Executive Chairman of Alshaya Group said: “In announcing this exclusive partnership across the Middle East, we are proud to be Chipotle’s first and only franchise partner, as we continue to enhance our portfolio by bringing world leading brands to our customers across our markets.”
Chipotle’s existing international portfolio of owned and operated restaurants includes 33 locations in Canada; 15 in the United Kingdom with three more opening this summer; six locations in France; and two in Germany. In North America, the Company currently owns and operates over 3,200 restaurants and is targeting 8 to 10% growth per year for the foreseeable future with at least 80% including a Chipotlane. Chipotle plans to open more than 255 new restaurants this year, with a long-term target of 7,000 locations in North America.
Chipotle’s newly formed business development group, led by Chief Business Development Officer Nate Lawton, is exploring opportunities for growth via outside partnerships. Information on submitting a proposal can be found at https://ir.chipotle.com/contact-us.
