Subway, a quick service restaurant (QSR) brand, has announced a new master franchise agreement with Pegacorn Sdn Bhd to expand its footprint in West Malaysia. This partnership is the third of its kind for Subway in Southeast Asia, following recent master franchise agreements in Indonesia and Thailand, and will significantly increase the total future restaurant commitments in the region.
A partner to Subway in Malaysia since 2019, Pegacorn will be opening approximately 500 new Subway locations across Peninsular Malaysia over the next 10 years — tripling the number of Subway restaurants in the market and steadily increasing the annual restaurant count.
As accessibility remains a top priority for the brand, under Pegacorn’s stewardship, guests can expect to see an increase of Subway non-traditional locations across Malaysia, such as in airports, hospitals, petrol stations and convenience stores. In addition, new – as well as updated existing restaurants – will feature Subway’s modern “Fresh Forward” design and enhance convenience for the consumer with new drive-throughs and ‘Grab & Go’ options.
The agreement with Pegacorn is part of Subway’s multi-year transformation journey to build a Better Subway and improve across all aspects of the brand as the business expands its presence around the world.
Subway said in a statement it will continue to seek strong partners with expertise in local markets across Asia Pacific as it strives to double its current network of restaurants in the region from about 3,300 today to over 6,000 in the next five years.
“The Asia Pacific and the Southeast Asian markets continue to be a huge opportunity for growth for Subway and an essential part of our international growth strategy,” said John Chidsey, CEO, Subway. “Pegacorn has proven to be a well-resourced, strategic and successful local operator that has the local insights and experience needed to expand Subway’s presence in Malaysia.”
“We are excited about the opportunity to lead the growth of Subway in West Malaysia and increase international awareness of the brand,” said Kin Siong Kon, CEO, Pegacorn. “We have seen increased demand from guests in Malaysia for Subway’s craveable sandwiches, wraps and salads and are committed to growing the business to make Subway even more accessible to communities across the country.”