RFG in the process to acquire Gloria Jeans
Announcement has been made today.
RFG has announced its entry into a Sale & Purchase Agreement (SPA) to acquire the global business and intellectual property assets of Gloria Jean’s Coffees.
The announcement revealed that the acquisition includes:
- The global Intellectual Property rights to the Gloria Jeans Coffees & It’s a Grind Brand Systems;
- Franchisor in respect of 40 licenced international territories;
- Operational management of the Australian and USA regions;
- Wholesale coffee roasting operations in Australia and the USA; and
- All associated plant and equipment.
RFG CEO Tony Alford noted, “Gloria Jean’s Coffees genuinely transforms RFG into a global franchising powerhouse, driving outlet network population to 2,400, and providing the Company with access to numerous international markets and new revenue platforms”.
He also emphasised the opportunity provided by the acquired coffee roasting businesses, and their alignment with RFG’s existing wholesale coffee and allied beverage operations.
“RFG already maintains a significant wholesale coffee roasting business, whose through-put will increase three-fold to 4.5m kilograms when combined with that of the target’s. As well, RFG’s Brand System coffee supply requirements will essentially be ‘future proofed’ by the addition of two supplementary roasting facilities that also afford a platform for export trade”, he said.
Adding, “the acquisition also offers access to the closed (patented) Caffitaly capsule delivery system, and a strong capsule distribution trade augmented by exclusive supply into a major national supermarket retailer. The Caffitaly system is currently represented by 540,000 machines within the Australian market, but is factored to grow significantly given the increasing popularity of the ‘in home’ espresso coffee experience”.
