Subway inks 4,000 master franchise deal in China

This is the largest master franchise agreement in the brand’s history.

Subway has entered into a new master franchise agreement with Shanghai Fu-Rui-Shi Corporate Development Co., Ltd. (FRS), to expand its presence in Mainland China. 

The agreement — funded by a consortium of private investors, including Asia Investment Capital (AIC) — is the largest master franchise agreement in Subway history.

Under the new partnership, FRS will open nearly 4,000 restaurants in Mainland China over the next 20 years, growing Subway's current footprint in the market by more than seven times. The group will also acquire the exclusive rights to manage and develop all Subway locations in Mainland China.

FRS is a consortium of investors and brings decades of experience managing large global QSR chains across Asia. In addition, the group will appoint a chief executive officer with significant QSR experience in the Chinese market.

As part of the brand's multi-year transformation journey and focus on international expansion, the agreement marks Subway's 13th master franchise and development agreement in the past two years, resulting in more than 9,000 future restaurant commitments around the world.

Subway said it pans to double its current network of restaurants in Asia Pacific from 3,500 to more than 6,000 restaurants over the next five years.