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Burger King Japan passing reins to Hong Kong investment fund

Fast-food chain struggled to grow under South Korea's Lotte Group

Burger King is transferring franchise rights to a Hong Kong private equity fund after failing to reach 100 locations in Japan under current leadership.

TOKYO -- Burger King, the world's second-largest hamburger chain, will transfer Japanese operations to a Hong Kong private equity firm, aiming to make growth sizzle with more locations.

The restaurant chain has opened fewer than 100 Japanese stores under the leadership of South Korea's Lotte Group. Market leader McDonald's Holdings (Japan) is staging a rapid recovery after several slow years, pressing Burger King to rethink its approach.

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