Jollibee Foods Corporation (JFC)

Philippines fast-food giant Jollibee acquires The Coffee Bean & Tea Leaf to ramp up coffee business

Philippines-based fast-food giant Jollibee has acquired The Coffee Bean & Tea Leaf. The deal will see Jollibee pay $350m for the California-based coffee and tea shop chain, and invest $100m into Coffee Bean through a Singapore-based holding group. Coffee Bean will become Jollibee’s second-largest business after its fast-food business and will account for 14% of its global sales. Jollibee currently operates 3,195 restaurant outlets in the Philippines and 1,418 stores globally. “The deal will bring international business’ contribution to 36% of worldwide sales and will bring Jollibee closer to its vision to be one of the top five restaurant companies in the world in terms of market capitalisation,” said Tony Tan Caktiong, the chairman of Jollibee. “Our priority is to accelerate the growth of The Coffee Bean and Tea Leaf brand particularly in Asia, by strengthening its brand development, marketing, and the franchisee support system.” Jollibee previously acquired American hamburger chain Smashburger after acquiring the remaining 15% stake that it did not own for $10m in December 2018.

Philippines · 23 Jul 2019

Jollibee takes full ownership of Smashburger

MANILA - Jollibee Foods Corp on Friday said it has taken full ownership of US-chain Smashburger, raising its stake from 85 to 100 percent. In a disclosure to the stock exchange, JFC said its subsidiary Bee Good! Inc has acquired Smashburger Master LLC's 15 percent stake for $10 million. "JFC is now the sole owner of the Smashburger business," the restaurant operator said. "We look forward to the development of Smashburger into a very strong brand and business in the United States," JFC Chairman Tony Tan Caktiong said in a statement. Current Country Head for North America Jose Minana will assume additional responsibility as President of Smashburger, JFC said. Smashburger has 351 stores, mostly in the United States. Jollibee, meanwhile, operates a total of 3,079 restaurant outlets in the Philippines.

Philippines · 13 Dec 2018

Smashburger sells stake to Jollibee, burger chain valued at $335M

Smashburger Master LLC, one of the upmarket chains shaking up the burger business, said it agreed to sell a 40% stake to Jollibee Foods Corp. of the Philippines for $100 million. The deal values Smashburger, which has 335 restaurants in 35 states and 7 countries, at $335 million, the companies said Monday. Jollibee is the largest restaurant company in the Philippines, operating more than 3,000 restaurants, including Burger King Philippines. Jollibee said it has been seeking an investment in a U.S. growth brand. Smashburger Chief Executive Scott Crane said that the agreement will help accelerate Smashburger’s international expansion, but that the initial focus is on continuing its domestic growth. Smashburger next year plans to open 80 restaurants, about 10 of them outside the U.S. The deal values Smashburger at far less than the $1.5 billion market capitalization of rival Shake Shack Inc. SHAK, +1.57% which went public in January to much fanfare. Shares of Shake Shack rose sharply through May, but have since fallen by more than half, including a 12% drop last week after the company converted some of its Class B shares into Class A shares to allow pre-IPO investors to cash out.

United States of America · 11 Oct 2015