A consortium led by Mirae Asset Global Investments, South Korea’s largest asset management firm, has signed a contract with Southeast Asian companies Jollibee Foods and Viet Thai to sell California-based The Coffee Bean & Tea Leaf for $350 million, according to industry sources on July 25.
Jollibee Foods is the biggest fast-food franchise operator in the Philippines with around 3,200 outlets. The company also has over 1,000 overseas stores, including in countries like the US and Saudi Arabia.
Viet Thai is the operator of Highlands Coffee in Vietnam with around 233 stores. It also operates the Vietnamese noodle restaurant brand Pho 24.
According to the deal, Jollibee Foods will acquire 80 percent stake in Coffee Bean and the remaining will be bought by Viet Thai.
Currently, the consortium led by Mirae Asset is the biggest shareholder of the US-based coffee franchise with 75 percent stake in the firm.
Back in 2013, the asset management firm acquired the firm by forming a consortium with global private equity funds including CDIB Capital and Advent International. At the time, the Korean PEF acquired 20 percent stake in the coffee franchise firm by investing 60 billion won ($53.14 million).
Established in 1963, Coffee Bean has over 900 outlets in 30 different countries. It started operating in Korea in 2001 after signing a contract with Korean fashion company Starluxe and its on-year sales increased by 5 percent to 166.6 billion won last year.
By Song Seung-hyun (firstname.lastname@example.org)