TL;DR
Jollibee Foods Corp. acquired Coffee Bean & Tea Leaf for $350 million, expanding its global presence and adding 14% to its system-wide sales. The acquisition is the biggest yet for Jollibee, with the beverage chain reporting a net loss of $21 million on revenue of $313 million in 2018.
According to an article on QSR, Jollibee announced that it has acquired the LA-based chain Coffee Bean & Tea Leaf. The $350 million deal is the biggest yet for Jollibee, adding 14% to Jollibee’s global sales and expanding its base by more than a quarter. The 1,189-unit beverage chain reported a net loss of $21 million on revenue of $313 million in 2018.
“The acquisition of The Coffee Bean & Tea Leaf brand will be JFC’s largest and most multinational so far with business presence in 27 countries,” Jollibee chairman Tony Tan Caktiong said in a statement. “This will add 14 percent to its global system-wide sales, 26 percent to its total store network, will bring international business’ contribution to 36 percent of worldwide sales and will bring JFC closer to its vision to be one of the top five restaurant companies in the world in terms of market capitalization.”
Previous landmark deals for the company include $210 million on Smashburger and $111.3 million on Mang Inasal. The company grabbed a 47 percent stake in Rick Bayless’ Mexican fast casual Tortas Fronteras for $12.4 million in September.
In related news, Jollibee's shares have reportedly fallen 8% following the announcement of the acquisition.
In this story
This story was originally published in 1851 Franchise on July 24, 2019. Burnaze summarizes and links to the original reporting.
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