Starbucks sold after years of struggle
posted on 3rd September 2018
Publicly-listed Restaurant Brands has sold the New Zealand licence for Starbucks to a new private company after seeing the brand decline here from a peak of nearly 50 outlets to just 22. Restaurant Brands, which runs Pizza Hut, KFC and Carl's Jr. here as well as having overseas interests, blamed New Zealand's strong coffee culture and the fact that it was competing against some very strong brands for Starbucks poor performance here compared to the USA.
Starbucks has never been franchised in New Zealand.
Two of the directors of a company taking over the Starbucks licence in New Zealand were also behind the recent takeover of Kiwi footwear company Hannahs.
Experienced directors John Elliott and Roger Harper are two of the three directors of Tahua Capital, which was specially set up to take over the coffee chain's operation from current licence holder, Restaurant Brands.
Tahua is a third owned by Maestro Cafes, and the rest by passive investors. The third director is Anthony Carter.
Restaurant Brands' licence to run the cafes expires in October. Tahua will pay for up to $4.4 million for the fitout and stock, and will seek to take over the leases with hopes of expanding the chain.