RFG announces acquisition of Di Bella Coffee
Another coffee brand under its belt.
Australia’s largest multi-brand retail food franchisor and leading wholesale coffee roaster, Retail Food Group Limited (RFG or the Company) announced its entry into a Share Purchase Agreement (SPA) to acquire the global business and intellectual property assets of the Di Bella Coffee Group (Di Bella Coffee).
The acquisition was announced at RFG’s Annual General Meeting held Wednesday morning on the Gold Coast.
The Di Bella Group increases RFG coffee throughput by approximately 30% to c. 5.9m kg (including the Gloria Jean’s Group).
RFG CEO Tony Alford noted that the transaction satisfies RFG’s key acquisitive criteria in that Di Bella Coffee is immediately Earnings per Share (EPS) accretive, generates increased supply-side scale and vertical integration opportunity, and significantly enhances RFG’s coffee and allied beverage throughput.
“In addition to these attributes, Di Bella Coffee complements and extends the Company’s existing market penetration by providing the Group with a reputable specialist coffee brand to grow scale amongst each of its coffee and allied beverage distribution channels including franchisee, contract roasting, commercial and the rapidly growing ‘in home’ capsule opportunity inherent in the Gloria Jean’s Coffees acquisition,due for imminent settlement”, Alford said.
Phillip Di Bella will join RFG on a full time basis, where he will continue to not only nurture and grow the Di Bella Coffee business, but also undertake an increasingly important role within RFG’s Coffee & Beverage Management (CBM) division.
“Not only will Mr Di Bella’s retention facilitate seamless transition of the business, it affords RFG another layer of “coffee” expertise in addition to that garnered as a consequence of the Gloria Jean’s Group acquisition. There is no question that Phillip’s passion for coffee excellence, industry experience and business knowledge, will further advance RFG’s coffee management team”, Alford said.
Di Bella Coffee Managing Director Phillip Di Bella said, “Di Bella has been built on the vision to provide ‘the ultimate coffee experience’, and this vision will be enhanced by leveraging RFG’s scale of operations and significant resources”.
“I am extremely excited by the opportunities the transaction brings to Di Bella Coffee. The systems, processes and support structures to be brought to the business via its integration with RFG will allow consolidation of existing domestic opportunities, whilst also allowing greater focus on expanding the Di Bella Coffee brands internationally”, he said.
