"The passing last year of Subway founder, Fred de Luca, our key contact within the organisation and the ultimate vision behind the partnership, has meant that Franchise Brands and Subway's priorities have had to change," CEO Josef Roberts said.

"It is clear that for now they have their own challenges. Given this situation we felt that it would be best to seek an end to the operating partnership, which if not in full swing, only delays us from developing in the United States."

"We are confident that we will get something off the ground in America soon and that our goal of opening in the USA will still be fulfilled," Roberts said.

"Let's not forget we have a strong business, no debt and a significant amount of knowledge about doing business in the USA which frankly has been necessary to understand."

The company requested a release from its agreement which has now been granted. Roberts said while the outcome wasn't what the company wanted, it had to be adaptable to the circumstances.