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HONG KONG, May 4, 2023 /PRNewswire/ -- DPC Dash Ltd ("DPC Dash" or the "Company") (HK: 1405), Domino's Pizza's exclusive master franchisee in the China Mainland, the Hong Kong Special Administrative Region of China, and the Macau Special Administrative Region of China, is speeding its China expansion, following its successful Hong Kong IPO in March 2023, adding presence in three new cities in a day.
DPC Dash entered the cities of Qingdao, Changzhou and Wenzhou on April 29, 2023, which brings city coverage to 20, and total store count to 638, as of April 30.
DPC Dash's global franchisor, Domino's Pizza, Inc. ("Domino's"), is the world's largest pizza company in terms of 2022 global retail sales. DPC Dash has adapted and built upon the Domino's business model by localizing its key features for China and its consumers, focusing on serving handcrafted, quality pizza at a competitive price, with easy ordering access and efficient delivery, enhanced by technological innovations.
The growing strength of the Domino's brand in China can be seen in the exceptional performance of new stores, which are setting global records for Domino's. In December 2022, DPC Dash opened its first store in the city of Jinan, which set new Domino's global records for both Best Opening Sales for 1st week, and Best Opening Sales Month for 1st 30 days. Within the Domino's system globally, the top-four stores for one-month sales have all been opened by DPC Dash in the past five months, including new stores in Jinan, Chengdu, and two in Wuhan.
DPC Dash became a publicly listed company trading on the Hong Kong Stock Exchange under the new stock code "1405.HK" on March 28, 2023. The listing provided DPC Dash with approximately HK$626.7 Million in gross proceeds, including proceeds from the exercise of over-allotment option. The Company plans to use approximately 90% of the net proceeds from the Hong Kong IPO to expand the company's store network beyond its current 600+ stores under operation over the next few years. DPC Dash plans to open approximately 180 new stores in 2023, and approximately 240 new stores in 2024. Given the vast number of potential store locations in China, the Company expects to open between approximately 200 and 300 new stores in each of 2025 and 2026.
Mr. Frank Paul Krasovec, Director and Chairman of DPC Dash, said, "The recent listing was a great achievement for DPC Dash as well as for our global franchisor, Domino's Pizza. With the newly raised proceeds, we aim to aggressively expand across the greater China region and to bring our comprehensive product offerings to hundreds of millions of potential Chinese consumers. We are excited for consumers across China to taste our handcrafted quality pizza at an attractive value proposition."
DPC Dash recently announced the appointment of Mr. Arthur Patrick D'Elia, executive vice president – international of Domino's Pizza, Inc., as a non-executive Director of the Company. Mr. D'Elia oversees Domino's business in more than 90 countries. DPC Dash will benefit from his rich experience, and the continued support from Domino's.
DPC Dash has developed a unique business model that is purpose-built for serving Chinese consumers delicious, value for money pizza through online channels, with an emphasis on delivery, enhanced by technology.
The efficient store economic model of DPC Dash has provided the foundation for its fast-growing store network, and the Company believes it will enable continued expansion throughout China. Stores are optimized for serving customers through online channels via delivery and carryout services, a model the Company believes it can replicate in new markets across China. On the front end, stores are focused on serving delivery customers through online channels. On the back end, stores are supported by central kitchens and supply chain. As a result, stores enjoy competitive rental and initial investment costs.
DPC Dash has operated Domino's Pizza since December 2010, when it acquired Domino's Pizza's then master franchisee in several Chinese provinces, Pizzavest China Ltd. In June 2017, DPC Dash renewed the Master Franchise Agreement with Domino's Pizza International Franchising Inc. and extended the franchise area to the entire China Mainland, the Hong Kong Special Administrative Region of China, and the Macau Special Administrative Region of China.
About DPC Dash
DPC Dash is Domino's Pizza's exclusive master franchisee in the China mainland, the Hong Kong Special Administrative Region of China and the Macau Special Administrative Region of China. Domino's Pizza, DPC Dash's global franchisor, is one of the most widely-recognized global consumer brands and the world's largest pizza company in terms of 2022 global retail sales. Led by a seasoned and visionary management team, DPC Dash is a market leader that differentiates from competitors with, among others, a continually developed and localized pizza-focused menu, unique expertise and leadership in delivery, technology focus and scalable and replicable store economic model.
DPC Dash directly operates 638 stores across 20 cities in China mainland as of April 30, 2023. The Company is the fastest growing among China's top-five pizza brands, as well as the third-largest in terms of 2022 revenue, according to a report by Frost & Sullivan.
For more information, visit www.dpcdash.com
Contacts
Investor Relations
DPC Dash Investor Relations:
ICR, LLC
dpcdashIR@icrinc.com
Media Relations
DPC Dash Public Relations:
ICR, LLC
dpcdashPR@icrinc.com
Forward Looking Statements
Certain statements in this document are forward-looking statements that are, by their nature, subject to significant risks and uncertainties. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions, future events, or performance (often, but not always, through the use of words or phrases such as "will", "expect", "anticipate", "estimate", "believe", "going forward", "ought to", "may", "seek", "should", "intend", "plan", "projection", "could", "vision", "goals", "aim", "aspire", "objective", "target", "schedules", and "outlook") are not historical facts, are forward-looking and may involve estimates and assumptions and are subject to risks (including but not limited to the risk factors detailed in this document), uncertainties and other factors some of which are beyond the Company's control and which are difficult to predict. Accordingly, these factors could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. The Company's forward-looking statements have been based on assumptions and factors concerning future events that may prove to be inaccurate. Those assumptions and factors are based on information currently available to the Company about the businesses that it operates. The risks, uncertainties and other factors, many of which are beyond the Company's control, that could influence actual results include, but are not limited to: the Company's operations and business prospects; its business and operating strategies and ability to implement such strategies; its ability to develop and manage its operations and business; its ability to control costs and expenses; its ability to identify and satisfy customer demands and preferences; the actions and developments of its competitors; • general economic, political and business conditions in the markets in which it operates; changes to regulatory and operating conditions in the industry and geographical markets in which it operates.
Since actual results or outcomes could differ materially from those expressed in any forward-looking statements, the Company strongly cautions investors against placing undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which such statement is made, and, except as required by the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited, the Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events. Statements of, or references to, the Company's intentions or those of any of its Directors are made as of the date of this document. Any such intentions may change in light of future developments.
