(Yicai) July 2 -- Restaurant Brands International and Cartesian Capital Group plan to invest as much as USD50 million in Tims China through a three-year convertible bond to help drive their joint venture’s expansion in the Chinese market.

RBI will invest up to USD30 million in Tims China, which runs Canadian coffee chain Tim Hortons and US fried chicken restaurant chain Popeyes in China, the Toronto-based fast-food holding company announced yesterday. US private equity firm Cartesian will contribute USD20 million.

RBI also agreed to acquire Popeyes China from Tims China on a cash-free, debt-free basis for USD15 million. The pace of expansion for Popeyes China, which has 14 eateries in Shanghai, is expected to ramp up through investments in local teams and restaurant development.

“China is one of the most compelling long-term market opportunities for both our Popeyes and Tim Hortons brands,” said Rafael Odorizzi, RBI’s president for the Asia-Pacific region. “Today’s announcement allows Tims China to redouble its focus on quality restaurant development and providing Chinese consumers with our high-quality Tims coffee and food offerings."

Founded in 2018, Tims China opened its first store in Shanghai in 2019 and has since brought onboard other investors, including Tencent Holdings and Sequoia Capital. Its reported first-quarter revenue of USD48 million, up 3.1 percent from a year ago, and a net loss of USD19.8 million.

The new investment follow RBI's recent appointment of Patrick Siewert as senior advisor for Asia-Pacific and underscores the company's commitment to growth in the region, it noted.

RBI operates over 30,000 restaurants in more than 120 countries and regions. Its shares [NYSE: QSR] closed down 0.1 percent at USD70.29 apiece yesterday, while Tims China [NASDAQ: THCH] fell 2.9 percent to 73 US cents.

Editor: Futura Costaglione