Restaurant group Spur said on Thursday it will acquire a 60% interest in the Doppio Group, which includes the Doppio Zero brand, Piza e Vino, and Modern Tailors.The acquisition will also give Spur options for further expansion across the country, while also stimulating its daytime offering.Spur Corporation, which owns brands such as RocoMamas, Hussar Grill and John Dory's, will acquire a 60% interest in the Doppio Group in its first big move into SA's lucrative coffee speciality market.
"Post Covid, we definitely saw that because of all the lock down regulations and restaurants having to close early, there had been a shift," she said on Thursday. Spur intends to expand the Doppio Group restaurant brands across SA, with Nichas saying the company viewed the transaction as"value-accretive" for both it and Doppio's founders, Paul Christie and Miki Milovanovic, who will continue to each hold a 20% interest in a"newco" vehicle that will house the Doppio brands. Spur will own 60% of this vehicle. The Doppio Group's 669 employees will also be transferred to Spur Corporation.
The two founders, who will stay on as executives for a minimum of five years, established the first Doppio Zero in Greenside 21 years ago. Their business has since evolved into a portfolio of 37 franchised and company-owned restaurants, as well as a bakery and a central supply business. Spur said the Doppio Group had generated sales of over R600 million in the year to end February.
"At the end of the day, the casual dining coffee culture, of people popping out to coffee shops to meet friends and working from coffee shops has now become the new trend, and I think Spur Corporation was one of the few companies in the fast-food sector which didn't have a casual coffee operation." Makwe Masilela, who heads up Makwe Fund Managers, also viewed it as a positive transaction for Spur, saying it would"definitely work for them" especially with day-time restaurant and coffee culture continuing to gain traction with a lot of South Africans still working from home.
South Africa South Africa Latest News, South Africa South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: BDliveSA - 🏆 12. / 63 Read more »