Yum China, Italy's Lavazza aim to open 1,000 cafes in China by 2025
- Wall Street flat, IBM results weigh on technology stocks
- Tesla (TSLA) Beats EPS and Revenue Views on Improving Gross Margins, Analysts Praise Very Solid Quarter But Warn of 'Aggressive Valuation' as Stock 'Priced to Perfection'
- Trump Media To Go Public Via $1.7 Billion SPAC Deal, Aims to Fight the Big Tech
- IBM (IBM) Stock Plunges 5% on Sales Miss, Q3 Results Seen as a Setback
- Oil hits multi-year high above $86, then pulls back
FILE PHOTO: Lavazza coffee logo is seen outside the new opening of Lavazza's flagship coffee store downtown Milan, Italy September 19, 2017. REUTERS/Stefano Rellandini
Get inside Wall Street with StreetInsider Premium. Claim your 1-week free trial here.
MILAN (Reuters) - Chinese restaurant chain Yum China and Italian coffee maker Lavazza, which formed a partnership in 2020, aim to open 1,000 Lavazza cafés in China by 2025, they said on Thursday.
The two groups will inject $200 million initially into the joint venture to fund its future growth.
In addition, the joint venture will market, sell, and distribute Lavazza's retail products in mainland China under an exclusivity agreement.
The first Lavazza flagship store in Shanghai, the first store outside of Italy, opened its doors to customers in April 2020. Lavazza has since grown to over 20 stores in China across Shanghai, Hangzhou, Beijing and Guangzhou.
"The recent progress of Lavazza cafés in China has been encouraging and reaffirms our belief that our partnership is well positioned to capture the significant coffee opportunity in China with accelerated store network development," the CEO of Yum China, Joey Wat said.
The joint venture is owned by Yum China and Lavazza with stakes of 65% and 35%, respectively.
According to the Starbucks China website, the U.S. company has over 5,000 stores in 200 cities in mainland China.
($1 = $1.0000)
(Reporting by Francesca Landini; editing by David Evans)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- D.C. jail under civil rights review, Attorney General says
- U.S. safety board says driver, passenger seats occupied during fatal Tesla crash
- Philippines' Duterte says he takes full responsibility for drugs war
Create E-mail Alert Related CategoriesReuters
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!