The Phnom Penh Post

Food, beverage company buys Starbucks Thailand

- Sue-Ann Tan

FOOD and beverage firm Fraser and Neave (F&N) has acquired the Starbucks Thailand coffee chain.

The company on Thursday said it has entered into an agreement to buy Starbucks Coffee ( Thailand).

The deal was done through Coffee Concepts ( Thailand), a partnershi­p between F&N Retail Connection and Maxim’s Caterers.

Maxim’s Caterers is a long-time partner of Starbucks, which is based in the US. It operates Starbucks outlets in Cambodia, Hong Kong, Macau, Singapore and Vietnam.

The acquisitio­n will be funded from a mix of debt and equity financing and should be closed by the end of this month.

It is expected to contribute to F&N’s earnings in the financial year ending on September 30.

F&N said in a statement that the investment is aimed at strengthen­ing its regional footprint and extending its presence into the retail coffee segment of the beverage market.

The company added that the acquisitio­n will a llow it to leverage Maxim’s Caterers’ longstandi­ng partnershi­p with Starbucks, as well as its extensive experience in running outlets in multiple markets and other food and beverage operations, to increase the number of Starbucks Thailand outlets from t he current 372.

Maxim’s Caterers operates Chinese, Asian and European restaurant­s, quick-ser v ice eateries, baker y shops, Japanese chain restaurant­s and institut iona l catering. It is a lso t he licensee of ot her brands, including Genki Sushi, Ippudo, The Cheesecake Factor y and Shake Shack.

It operates around 1,300 outlets in Cambodia, Hong Kong, Macau, China, Vietnam, Thailand, Singapore and Malaysia.

Koh Poh Tiong, an F&N director and chairman of its board executive committee, said: “We are delighted by the opportunit­y to partner Maxim’s Caterers to invest in Starbucks Thailand. This acquisitio­n provides an interestin­g strategic opportunit­y for F&N to enter and participat­e in the fast-growing premium retail coffee market in Thailand, one of F&N’s three significan­t core markets.

“We believe t hat t he addition of Starbucks Thailand, with its store footprint and its position as a well-recognised cof fee reta iler in Thailand, will strengt hen our competenci­es in the on-premise sector and elevate our capabiliti­es in directly engaging consumers in t he long term.”

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