Global Yellow Pages says it has agreed to acquire the global brand Gloria Jean’s Coffees from Tea & Coffee Traders Pty Ltd acting as trustee for the Saleh Family Trust.

Gloria Jean’s Coffees is a leading global specialty coffee and coffee house chain with over 800 coffee houses across 39 countries worldwide.

The business being acquired comprises all “Gloria Jean’s Coffees” and “It’s A Grind” intellectual property, the global supply chain operations, and the master franchisor business for all Gloria Jean’s Coffees coffee houses world-wide. The Gloria Jean’s Coffees brand is well-established in international markets and GYP believes there is significant potential for further expansion of the brand in Asia, especially China.

Nabi Saleh, Executive Chairman of Gloria Jean’s Coffees, will continue to be closely associated with Gloria Jean’s Coffees and will retain interests in the master franchisee business for Australia, USA and China.

GYP will acquire 100% of Gloria Jean’s Coffees with a combination of cash and new GYP shares. To fund the acquisition and to strengthen GYP’s financial capacity, GYP is proposing to raise up to $62.9 million via a rights issue. The rights issue will be partially underwritten by UOB Kay Hian supported by sub-underwriting undertakings from Stanley Tan, CEO and Executive Director of GYP, and Sam Goi, a substantial shareholder of GYP through his investment company.

The proposed acquisition and the rights issue are subject to GYP shareholders’ approvals at a general meeting to be convened. The rights issue provides an exciting opportunity for GYP shareholders to continue to participate in the growth diversification of GYP’s business.

Mah Bow Tan, Non-Executive Chairman of GYP, said, “This is a significant step in our on-going strategy to diversify into other business areas, in particular the food and beverage sector. The acquisition of Gloria Jean’s Coffees is an exciting opportunity for GYP to acquire a leading global coffee business with tremendous growth potential. The coffee drinking culture is growing fast in many Asian countries and we believe that this acquisition will provide GYP with a platform to tap into this growing trend in Asia, especially China.”

Nabi Saleh, Executive Chairman of Gloria Jean’s Coffees, said, “I am excited to have the opportunity to continue to be closely involved with Gloria Jean’s Coffees and I am highly confident that the Gloria Jean’s Coffees brand can reach even greater heights under GYP’s ownership.”

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