MANILA, Philippines—Jollibee Foods Corp. (JFC) has sold its Caffe Ti Amo business in line with its strategy to focus more resources on its overseas expansion.
In a disclosure, the country’s biggest food service group said its coffee and ice cream parlor chain was bought by CafeFrance Corp., a wholly owned subsidiary of Euro-Med Laboratories Philippines Inc.
This was the same group that acquired Jollibee’s Delifrance business in December in 2010.
“JFC has been divesting in some of its businesses even as it continues to acquire new businesses,” JFC said on Tuesday.
Aside from Caffe Ti Amo and Delifrance, Jollibee also recently sold its Manong Pepe fast food chain, shortly after acquiring Mang Inasal.
Jollibee chief financial officer Ysmael Baysa said the divestment would not have any material impact on the company’s full-year profit. The company said that although Caffe Ti Amo had been a growing venture, the decision to sell it was driven by a plan to venture into more lucrative markets.
The sale is expected to be completed by the end of the month at a price of P20 million. JFC will also transfer franchising rights for the Caffe Ti Amo chain to CaféFrance as part of the sale.
Caffe Ti Amo, which is a South Korean brand, has two branches in Metro Manila.
“JFC’s divestment is in anticipation of the commencement of new businesses, namely San Pin Wang in China’s Guang Xi Province, and the joint venture with Viet Thai International Joint Stock company in Vietnam and other parts of Southeast Asia,” Jollibee said.
The venture with Viet Thai will allow JFC to acquire a chain of 139 coffee shops in several territories, including Vietnam, Hong Kong, Macau and Southern China.
The San Pin Wang venture will give Jollibee 39 restaurants in China. JFC said it expected both transactions to be finalized by early 2012.
Jollibee operates the biggest fast food network in the country with nearly 2,000 stores.