MINT INVESTS A$ 45 MILLION TO BUY AN ADDITIONAL 20% STAKE IN ITS AUSTRALIAN RESTAURANT BUSINESS
Minor International Public Company Limited (“MINT”) announced today that it has invested A$ 45 million to increase its stake in Minor DKL Food Group Ltd (“Minor DKL”) from 50% to 70%. Minor DKL is one of Australia’s largest restaurant businesses with system-wide sales of A$ 540 million, over 440 outlets and four brands operating in eleven countries. Following the transaction, MINT will consolidate Minor DKL’s financials in the Group’s account, further boosting its near-term and long-term earnings growth.
In 2008, MINT acquired 50% of Minor DKL when it had only 160 outlets operating under the Coffee Club brand name. Since then, Minor DKL’s restaurant operations expanded from 160 to over 440 outlets and systemwide sales increased from A$ 150 million to A$ 540 million. Moreover, from a single brand of the Coffee Club in 2008, Minor DKL expanded to own a portfolio of multiple restaurant brands, ranging from the Coffee Club, Ribs and Rumps, the Groove Train, and Coffee Hit. It also expanded into coffee roasting by acquiring Veneziano Coffee Roasters which is a leading specialty coffee roasting house that supplies more than 1,500 tons of coffee each year to retail and wholesale customers across Australia.
Paul Kenny, CEO of Minor Food Group, commented, “The investment demonstrates our long-term commitment to Australia and our belief in the future success of the restaurant brands under Minor DKL. With its present size and scale, Minor DKL is ready to leap forward. With our larger stake and support, Minor DKL can further leverage on our global operating platform, operational excellence system, supply chain management, product development and international franchise experience. The founding shareholders will retain a 30% stake and continue to serve as Board members. We are pleased that our partnership has contributed to the success of Minor DKL since 2008 and look forward to working with the founders to continue driving the company forward for many more years.”