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Tag: Baguette

  • Berjaya Food Exits Paris Baguette Joint Venture, Redirects Focus on Core Businesses

    Berjaya Food Exits Paris Baguette Joint Venture, Redirects Focus on Core Businesses

    Berjaya Food, a major player in the food and beverage industry, has concluded their collaboration with Paris Baguette, marking the end to the alliance that brought the esteemed South Korean bakery chain to Malaysia in 2023.

    In an effort to sever ties with the financially draining venture, Berjaya Food divested its 50% share in Berjaya Paris Baguette (BPB) to Paris Baguette Singapore for a token sum of RM1 (US 24 cents). Executed on June 30, this transaction included the transfer of 20 million ordinary shares. This was accompanied by Berjaya Food’s settlement of RM3.91 million (about $960,920) in outstanding liabilities.

    A Challenging Operation

    The Malaysian branch of the business has persistently reported losses since its commencement. As per recent records, BPB reported an unaudited, post-tax loss of RM67.09 million ($16.49 million) and net liabilities of RM33.41 million ($8.2 million). The RM20 million ($4.9 million) pumped into the venture by Berjaya Food is fully impaired.

    Berjaya Food has clarified that the divestiture of BPB is a strategic move to step away from the “Paris Baguette” chain of bakery and retail stores in Malaysia, which has continually underperformed since its introduction in the country. This decision, they explain, will help to eliminate the group’s exposure to BPB’s continuous financial losses.

    Looking Ahead

    Berjaya Food can now channel its resources and managerial attention to its principal businesses and future growth prospects. Paris Baguette, on the other hand, first set foot in Malaysia in 2023 and currently manages 16 locations across the country.

    Berjaya Food’s decision to divest comes at a time when the group is grappling with wider earnings pressure. Last year, the company reported its fifth consecutive quarterly loss, largely contributed by weaker performance at its Starbucks Malaysia business.

    Questions & Answers

    Why has Berjaya Food chosen to exit the joint venture with Paris Baguette?
    Berjaya Food decided to exit the joint venture due to consistent financial losses, deciding instead to focus on their core businesses and future growth opportunities.

    What was the extent of Berjaya Food’s investment in Berjaya Paris Baguette?
    Berjaya Food’s investment in the venture amounted to RM20 million ($4.9 million), which has now been fully impaired.

    What has been the impact of the divestment on Paris Baguette’s presence in Malaysia?
    Paris Baguette continues to operate in Malaysia, currently managing 16 locations across the country. The divestment has not affected its operational presence.

  • VTI Boosts F&b Portfolio With Acquisition Of Paris Baguette’s Vietnam Operations

    VTI Boosts F&b Portfolio With Acquisition Of Paris Baguette’s Vietnam Operations

    Viet Thai International (VTI), a global conglomerate, has recently made a significant acquisition by taking over the Vietnam operations of Paris Baguette, a popular Korean bakery chain. The move aims to increase VTI’s presence in the rapidly growing food and beverage sector in Vietnam.

    Paris Baguette’s Expansion in Vietnam

    Paris Baguette first set foot in the Vietnamese market in 2012, operating under the legal entity Paris Baguette Vietnam Co. Over the span of a decade, the brand has established a chain of nine stores, primarily in Hanoi and Ho Chi Minh City. The bakery chain offers a unique blend of bakery products and cafe services to its customers.

    VTI’s Strategic Acquisition

    According to VTI, this acquisition fits perfectly with its mission to “bring the best of the world to Vietnam and take the best of Vietnam to the world.” The company sees this as an opportunity to offer a popular international brand to the Vietnamese consumers while expanding its own operations.

    VTI’s diverse portfolio includes stakes in other popular brands, such as Philippine-owned Highlands Coffee, Pho 24, and The Coffee Bean & Tea Leaf. Additionally, VTI operates Alid, a footwear and accessories business in Vietnam.

    Future Plans for VTI

    Earlier this year, there were discussions about revitalizing the long-delayed Initial Public Offering (IPO) of Highlands Coffee, nearly a decade after the plan was first announced.

    David Thai, the founder and CEO of VTI, confirmed that the company is in active discussions with bankers and is considering potential listings in various global markets including Singapore, Hong Kong, Abu Dhabi, and the United States.

    Questions & Answers

    What is VTI’s latest acquisition?
    VTI has recently acquired the Vietnam operations of Paris Baguette, a Korean bakery chain.

    Where are the majority of Paris Baguette’s stores located in Vietnam?
    Most of Paris Baguette’s stores in Vietnam are located in Hanoi and Ho Chi Minh City.

    What are the future plans for VTI?
    VTI is actively discussing its potential listings with bankers in various global markets such as Singapore, Hong Kong, Abu Dhabi, and the United States. The company is also considering to revive the long-delayed IPO of Highlands Coffee.

  • Paris Baguette appoints Belinda Remaczyk as UK franchise director

    Paris Baguette appoints Belinda Remaczyk as UK franchise director

    South Korean bakery cafe Paris Baguette has named Belinda Remaczyk as franchise director for its UK arm.

    Remaczyk joined the company a month after the cafe opened its first UK store in Canary Wharf, London. She will lead franchise strategy in the country, where it currently operates three stores.

    Prior to joining Paris Baguette, Remaczyk was the head of the European franchise recruiting for Wendy’s.

    Nico Gaillot, MD of Paris Baguette UK, said Remaczyk will be pivotal in driving the brand’s growth and success.

    “Her dedication to fostering strong relationships and her passion for strategic growth make her the perfect fit for this role. We are excited to see the positive impact she will bring as we expand our footprint in the UK,” said Gaillot.

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  • Paris Baguette opens its first store in Canada

    Paris Baguette opens its first store in Canada

    Bakery cafe franchise Paris Baguette is opening its first Canadian storefront, kicking off the brand’s planned expansion into Canada. The bakery cafe offers coffee bar drinks, bread, pastries and cakes. Paris Baguette plans to open seven more locations across Canada this year, as well as more than 64 new storefronts in the United States.

    “The expansion of our bakery cafes into Canada marks an exciting period of growth for Paris Baguette,” said Darren Tipton, chief executive officer, Paris Baguette North America. “We can’t wait to celebrate moments of joy with our guests as we establish our neighborhood bakery cafes in Toronto and bring our vision to life throughout Canada.”

    The new Toronto location boasts a 2,300-square-foot cafe space with seating for up to 20 guests. An open kitchen design allows customers to observe bakers at work while a center island displays some of the cafe’s signature baked foods.

  • Paris Baguette arrives in Indonesia

    Paris Baguette arrives in Indonesia

    Erajaya Food & Nourishment (“EFN”) and Paris Baguette of Singapore (“PB”), officially entered into a joint venture partnership through the signing of a Joint Venture Agreement represented by Ms. Gabrielle Halim from EFN and Mr. Jin-Soo Hur from PB.

    Through this partnership, Paris Baguette, the well-loved fast-casual bakery from South Korea, known for its quality, delicious and innovative array of pastries, breads and cakes, officially enters the Indonesian market. The highly-anticipated debut would make Indonesia the fourth country in South East Asia that Paris Baguette would call home.

    Paris Baguette’s entry into the Indonesian market promises to break through the country’s F&B clutter, by offering elevated culinary concepts and a plethora of delicacies, crafted using premium ingredients, guaranteed to satisfy the most discerning taste.

    Gabrielle Halim, CEO of Erajaya Food & Nourishment, stated, “We are honoured to partner with Paris Baguette to expand its footprint in Indonesia. Their commitment to innovation and quality is in line with our vision to become a leading F&B player in Indonesia. We are certain the food lovers in Indonesia will welcome and enjoy Paris Baguette’s fresh concept and unique offerings when we open our first stores shortly.”

    “We are delighted to partner with Erajaya Food & Nourishment, who shares our vision of making the world a happier place through innovative products and by leading with integrity. Together with our partner, we will bring the high-quality treats that we love from Paris Baguette to Indonesia. Our expansion into Indonesia is a part of our globalization strategy.” said Hana Lee, Vice President of Paris Baguette SEA, SPC Group.

  • Paris Baguette to open Singapore flagship at Ion Orchard

    Paris Baguette to open Singapore flagship at Ion Orchard

    South Korean bakery chain Paris Baguette is set to unveil a new flagship inside Singapore’s Ion Orchard this month.

    According to the chain, the flagship will be the first-of-its-kind in the territory, introducing the brand’s new-generation interior design, store features and exclusive product offerings. Different to its usual store design, the Ion Orchard store will present a distinctive color palette of marble, wood, white and gold tones.

    “Our store design features a skylight ceiling and French outdoor furniture, to provide the illusion of outdoor-indoor dining,” said Hana Lee, VP of Paris Baguette Southeast Asia.

    Spanning more than 3000sqft, Paris Baguette Ion Orchard has a capacity of 70 seats, offering an all-day dining menu and exclusive new premium products, including South Korea’s favorite Natural Yeast Bread and Paris Rocher Cake.

    As part of the launch, the chain will also introduce its sustainable premium tea line, Teatra Tea, at Paris Baguette Ion Orchard.

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  • Paris Baguette enters Cambodia

    Paris Baguette enters Cambodia

    SPC Group is launching the Paris Baguette bakery franchise in Cambodia, opening the first branch in the country‘s capital city, the company said Wednesday.

    According to SPC Group, the Korean firm behind bakery brand Paris Baguette, it forged ties with Cambodia’s HSC Group to open the first Paris Baguette store in Phnom Penh.

    Cambodia is the sixth country in which Paris Baguette has launched, and it is the first time the bakery operator has formed a joint venture for its overseas business, SPC Group said.

    For the business partnership, Paris Baguette’s affiliate in Singapore established a joint venture, dubbed H.SPC, with HSC Food&Beverages, an affiliate of the Cambodian conglomerate, SPC Group said.

    With the launch of Paris Baguette in Cambodia, SPC Group aims to penetrate into the Southeast Asian market.

    “SPC Group is committed to expanding business in Southeast Asia,” an SPC Group official said.

    “We recently met with a Malaysian senior minister to discuss establishing a halal-certified food factory there, and we are reviewing plans to tap into Indonesia, which has the biggest market in the region. We also plan to enter the Middle East market in the future.”

    The first Paris Baguette store in Cambodia is located in the central area of Boeung Keng Kang in the capital city, occupying the entire space of a three-story building.

    SPC Group operates about 430 Paris Baguette stores overseas in six countries — China, the United States, France, Vietnam, Singapore and Cambodia.

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  • Paris Baguette opens its largest Singapore store

    Paris Baguette opens its largest Singapore store

    Best known for its Paris Baguette bakery franchise, SPC Group has opened four food brand stores in Singapore. The group is planning to make Singapore as its third axis of global growth after China and the United States.

    The group opened the new stores at Jewel Changi, a commercial complex connected to Changi Airport in Singapore, on April 17. The four food brands include Maison de PB, the first high-end brand of Paris Baguette; Coffee@Works, a special tea and coffee brand; and Shake Shack, a burger brand.

    Jewel Changi is a seven-story lifestyle complex built as part of the Singaporean government’s Chingi Airport development projects.

    Maison de PB serves not only bakery products but also various meals that go well with bread such as “Beef On The Stone” and “Signature Seafood Pasta.”

    Coffee@Works has opened its first overseas store at Jewel Changi. Currently, it operates a total of 12 stores in South Korea. Shake Shack has also opened the first store at the complex after it obtained a license for business operation in Singapore in October last year. Singapore is the third-largest market in SPC Group’s global operations.

    Paris Baguette has 12 stores in Singapore, including the one at Jewel Changi. Although the number of stores in Singapore is less than the 14 in Vietnam, sales in Singapore, which came to 14.90 billion won (US$13.13 million) last year, are nearly three times higher than those in Vietnam.SPC Group is seeking to establish a holding firm in Singapore. It is planning to build a base in Singapore, which is considered a hub of logistics, finance, and business in Asia, and expand its business to neighboring Southeast Asian countries.

    The group is also seeking to build a Halal certified production facility to target Muslims and the global Halal food market. It will establish the facility in the Southeast Asian region in order to target Muslim countries, including Indonesia and Malaysia, and will set the exact time and place in the future.

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  • Paris Baguette opening outlets in Canada

    Paris Baguette opening outlets in Canada

    South Korean food-and-beverage company SPC Group says it will launch its bakery-cafe chain Paris Baguette into Canada next year.

    The Canadian operation of Paris Baguette will be set up by the first half of the year, with stores to be launched in the country’s major cities including Toronto and Vancouver, the group said in a statement.

    Paris Baguette’s goal is to establish at least 100 bakery branches in Canada by 2030.

    SPC Group has so far expanded into China, the US, Vietnam, Singapore, France and Cambodia.

    The company runs about 400 Paris Baguette stores globally, with stores in heavily populated areas such as Manhattan, San Francisco, Paris, Ho Chi Minh City and Boston.

  • Paris Baguette eyes expansion in the US, Singapore

    Paris Baguette eyes expansion in the US, Singapore

    South Korean F&B group SPC is expanding outside of its home territory as its home-based brands reach saturation point.

    Plans to establish an upscale restaurant in New York-based on its Paris Baguette bakery brand, however, have been significantly impacted by the continuing US coronavirus outbreak, according to a report in the Korea Times.

    “We were planning so as part of our global business expansion starting with our locations in Singapore. However, due to the COVID-19 outbreak, everything was put on hold,” said an official spokesperson for SPC. “We were going to start with Maison de PB and make our next move after watching its performance in NYC.”

    The group has already successfully established Paris Baguette locations in the US, although poor brand visibility is still said to be an issue for the franchise. According to one industry source, the Maison de PB venue was intended to elevate the reputation of the brand.

    “There’s a limit for its success with the confectionery business in the US and Europe,” the source told the Korea Herald. “It is very hard to break the stereotype that an Asian bakery can offer better products than French bakeries. Becoming successful with Maison de PB in NYC is also important but we can see it as part of the group’s efforts to build its brand image there.”

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