|  Lavazza , the sixth largest coffee roaster of the world, has acquired Indian coffee retail chain Barista and pioneer, freshly brewed coffee, vending brand Fresh & Honest from the Sterling group. This acquisitions comes close on the heals of the world's biggest coffee retailing chain "Starbucks'" likely foray into India .
The 112 years old Italian company takes pride in spreading the aroma and quality of Italian espresso around the world. It operates 24,000 outlets in 80 countries and manages 14 subsidiaries, eight of which are located outside Italy .
Lavazza earns two third of € 867 million annual revenue from the sales of roast-and-ground coffee powder packets, while the balance is earned from cafe and vending business. Branded as " Italy 's Favourite Coffee." Three-fourths of the 20 million coffee purchasing families in Italy choose Lavazza according to the company. Noted for its variety in blended roast products, the company pioneered the art of blending in the early twentieth century.
Lavazza is likely to invest Rs. 675 crore, over the next two years, in Indian operations. It sources one eighth of its coffee beans requirement from India .
 As part of the expansion, Barista would have about 400 outlets across the country as compared to the 156 we have today,' said Partha Duttagupta, CEO of the Barista Coffee Company. 'Most of them will be company owned. At present we have 150 company owned outlet and the balance 6 are under franchise.
"The agreement fits in well with our strategy to grow in markets with high development potential," said Alberto Lavazza, CEO.
Source: www.indiaretailbiz.com |
