Vellore Pizza Co. Business Plan › Section 1 › Executive Summary

Vellore Pizza Co.™ is a proposed South African
pizza-focused quick service restaurant (“QSR”) platform built around a
delivery-first operating model, technology-enabled ordering, high-volume
takeaway formats, centralised supply-chain infrastructure and an
aggressive but disciplined franchise expansion strategy. The Company
will combine the proven economics of South Africa’s established pizza
chains with a modern, digitally native operating system designed for a
youthful, price-sensitive and increasingly connected consumer base.

The Company seeks R330 million in growth capital —
comprising R200 million of equity and a R130 million senior debt
facility — to establish 18 corporate-owned flagship restaurants, a
central commissary, a proprietary ordering and logistics technology
stack, and a franchise network reaching 140 outlets by the end of the
fifth financial year (“FY5”). Across a combined network of 158 corporate
and franchised stores, the Company targets system-wide sales of
approximately R2.96bn and Company revenue of
R822.7m by FY5, at an EBITDA margin of
29.5%.

1.1 The Opportunity

South Africa’s fast food market was valued at approximately
USD 6.31 billion in 2024 and is forecast to reach USD
8.18 billion by 2033. The quick service restaurant channel dominates the
country’s food-service economy, accounting for roughly 60% of
profit-sector food-service sales and the substantial majority of
outlets. Pizza is one of the most resilient and scalable categories
within this market, underpinned by high-frequency purchasing, strong
group-ordering dynamics, attractive product economics and broad
demographic appeal.

In parallel, the South African online food delivery market — valued
at roughly USD 1.04 billion in 2024 and growing at around 7.6%
per year — is reshaping consumer expectations around speed,
convenience and digital ordering. Online food spend has been growing at
a dramatically faster rate than in-store spend, and platforms such as Mr
D and Uber Eats now coordinate tens of thousands of delivery vehicles
daily across the country’s metros. Vellore is purpose-built to capture
this structural shift rather than to retrofit it onto a legacy
estate.

1.2 Strategy in Brief

Vellore’s strategy rests on five mutually reinforcing pillars, each
designed to address a specific structural feature of the South African
market and to compound into a durable competitive advantage over
time:

1. Delivery-first store formats. Smaller,
   lower-cost “dark-friendly” kitchens optimised for throughput and
   delivery radius rather than dine-in seating, reducing capital intensity
   per unit and improving returns.
2. Owned technology platform. A proprietary
   ordering app, point-of-sale system and dispatch layer that lowers
   third-party aggregator dependence, captures first-party customer data
   and powers a loyalty programme.
3. Central commissary. Centralised dough
   production, cheese blending, sauce preparation and packaging procurement
   that standardises quality, lowers unit food costs and creates a
   high-margin internal supply revenue stream.
4. Franchise scalability. A structured franchise
   system that recycles capital, aligns local operator incentives and
   accelerates national coverage while generating royalty, levy and
   supply-chain income for the Company.
5. Premium-value brand. A youth-oriented, digitally
   native brand positioned at the intersection of affordability and visible
   quality — directly targeting documented consumer dissatisfaction with
   topping ratios and consistency among incumbents.

1.3 Financial Summary

The table below summarises the Company’s consolidated five-year
financial projections. The model reflects a deliberate front-loaded
investment profile: FY1 absorbs the cost of building the commissary,
technology platform and initial corporate estate, producing a planned
operating loss, before the network reaches scale and the franchise
annuity compounds from FY2 onward.

Figure 1.1

Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of Vellore Pizza Co. (Pty) Ltd.