DONUT KING AIMS FOR SLICE OF EUROPEAN MARKET
PIONEERING Australian snack food chain Donut King is expanding to Sweden under a deal to sell master franchise rights.
The first outlet is expected to open by Christmas in Uppsala, a city about 70km north of the capital Stockholm.
Brisbane-based Retail Food Group, which also counts Gloria Jeans Coffees, Brumby’s Bakery, Michel’s Patisserie and Crust Gourmet Pizza among its brands, said it was the beginning of a push into the Scandinavian market.
Launched in Sydney in 1981, Donut King has about 280 outlets around Australia and a presence in New Zealand, Fiji, Saudi Arabia, Papua New Guinea and China.
Retail Food Group said the Swedish rights had been bought by BC Food & Beverage, representing a group of experienced Swedish businessmen.
The chief executive of Retail Food’s international operations, Mike Gilbert, said the investors were confident Donut King’s warm cinnamon donuts and espresso coffee would be supported by the Swedish market.
“Donut King has also built a loyal customer following among a number of international markets, and we feel the time is now right to introduce the brand within Scandinavia,” he said.
Mr Gilbert said there was interest in sub-franchising in the region.
Retail Food is Australia’s biggest multi-brand retail food franchise owner, developer and manager, with a network of more than 2500 outlets across 12 brands.
Shares in the group closed up 1.2 per cent, or 5c, yesterday at $4.37.