California Pizza Kitchen Inc.
(CPKI), one of the leading casual dining restaurant chains, is finally opening its first restaurant in India. California Pizza’s franchise partner is JSMGGC India Pvt. Ltd., a joint venture between JSM Corp. based in Mumbai and Gourmet Gulf Co. based in Dubai.
 
In August 2009, California Pizza Kitchen signed a deal with its franchisee partner to expand in India, by opening at least 15 restaurants in India over the next 10 years.
 
The Los Angeles-based chain stated that it is opening the first Indian restaurant in Bandra Kurla Complex district of Mumbai, which is a 4,000 square feet restaurant and accommodates a seating arrangement for 180 guests.
 
The new restaurant will enjoy a strategic location as Bandra Kurla Complex is a growing commercial district, which also has two schools and thus attracts corporate guests as well as students. The menu offers a plethora of variety, apart from its popular pizzas and salads.
 
India is the eleventh international location for California Pizza Kitchen. As one of the world’s largest emerging markets, the country provides a huge expansion opportunity. Moreover, the burgeoning of the middle income group is an important driver for its Indian focus.
 
California Pizza Kitchen intends to open eight company-owned restaurants in fiscal 2010. The company currently owns and operates 264 restaurants, of which 207 are company-owned and 57 are either franchised or licensed in 32 states and 11 foreign countries.
 
California Pizza Kitchen currently retains a Zacks #3 Rank (short-term Hold rating). We are also maintaining our long-term Neutral recommendation on the stock.
 
Other restaurants companies, which compete with California Pizza Kitchen, are Buffalo Wild Wings Inc. (BWLD), Biglari Holdings Inc. (BH) and AFC Enterprises Inc. (AFCE).

 
AFC ENTERPRISES (AFCE): Free Stock Analysis Report
 
BIGLARI HOLDING (BH): Free Stock Analysis Report
 
BUFFALO WLD WNG (BWLD): Free Stock Analysis Report
 
CALIF PIZZA KIT (CPKI): Free Stock Analysis Report
 
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