Daojia acquisition to enhance Yum's delivery capacity

Yum China Holdings Inc said it will acquire a controlling stake in food delivery company Daojia, to expand delivery services for its KFC and Pizza Hut chains in the country.

The transaction is expected to close by the end of this month, the company said.

Daojia, founded in 2010, is an online food delivery service provider focusing on orders in large cities. "The transaction is to accelerate digital and delivery growth by enhancing know-how and expertise in this growing segment," according to Yum.