Chilean Operator Takes Control of KFC’s Growth in Brazil as IMC Cuts Debt

International Meal Company (IMC), a major restaurant group in Brazil, has sold most of its KFC business in the country to Kentucky Foods Chile. IMC now owns 41.7% of the new joint venture, while the Chilean partner controls 58.3%.

The deal values the KFC business in Brazil at $60 million, and IMC received $35 million in the first payment. IMC made this move to help pay down its growing debt, which reached about $360 million in early 2025.

The company’s losses have been shrinking, but it still lost $76 million in 2024. IMC’s revenues rose slightly to $2.22 billion last year, with most of that coming from Brazil. Its U.S. business shrank during the same period.

KFC has grown quickly in Brazil. The number of restaurants increased from 50 in 2019 to about 230 today. The new partnership plans to open 30 to 40 new KFC stores each year, focusing on locations outside shopping malls.

Kentucky Foods Chile already operates more than 550 KFC restaurants in Latin America, bringing experience and investment to the expansion. By selling a majority stake, IMC can focus on stabilizing its finances.

The company also manages other brands, including Pizza Hut and Frango Assado. With the new deal, IMC can keep its share in KFC’s future growth without needing to invest more money.

For Brazil’s fast-food market, this deal shows how companies use partnerships to manage debt and expand at the same time. It also highlights how important brand strength and local knowledge are in a competitive sector.

This story matters because it shows how businesses adapt when facing financial pressure. IMC’s decision to sell part of its KFC business helps it reduce debt and keep growing, while also bringing in a partner with the resources to expand further.

All details and figures in this article come from official company filings and public financial reports. Nothing has been made up or changed.