Off the wire
Spotlight: Focusing middle class, Obama's state address eyes on 2016 election  • NBA results  • NBA standings  • Australian sharks to be tracked at any time  • China treasury bond futures close mixed Wednesday  • Japan's central bank cuts inflation outlook for fiscal 2015  • Maldives replaces defense minister in controversial weapons finding  • (Sports Focus) Chinese billionaire buys 20% stake in Atletico Madrid (updated 2)  • China budget carrier listed on Shanghai bourse  • China stock index futures close higher Wednesday  
You are here:   Home

Chinese bun maker runs Australian coffee chains

Xinhua, January 21, 2015 Adjust font size:

Goubuli, a renowned Chinese restaurant chain known for its steamed stuffed buns, announced they finalized a deal with Gloria Jean's Coffees to operate the Australian brand in China.

According to the deal reached on Dec. 25, 2014, Tianjin Senyongtai Food and Beverage Co. Ltd., a subsidiary wholly-owned by the Goubuli Group, will hold an 80 percent majority stake in "Tianjin Glory", a new joint venture that will operate Gloria Jean's coffee brand in China, said Goubuli board chairman Zhang Yansen Wednesday.

The Australian firm will hold the remaining 20 percent of shares, he said.

"Our negotiations began at the end of 2012 and lasted for almost two years," said Zhang.

Gloria Jean's Coffees currently has 12 outlets in China, including branches in Tianjin, Shanghai and Chengdu. One of the shops is located next to a Goubuli buns outlet in downtown Tianjin's Nankai District.

"Like other coffee shops, we sell coffee, soft drinks and pastries," said a Gloria Jean's coffee shop assistant.

"We don't serve Goubuli buns here -- the bun-and-coffee combination would sound too weird," he said.

China's coffee consumption is growing at 15 percent annually, much faster than the international average growth rate of 2 percent a year, said Zhang Yansen.

A market survey has found that China's coffee consumption in 2012 totaled 70 billion yuan (11.26 billion U.S. dollars). Zhang predicted the figure will climb to 150 billion yuan in five years.

Gloria Jean's currently operates about 1,000 stores in 42 countries and regions worldwide.

Zhang said the new deal will increase Gloria Jean's outlets in China to 200 in the coming five years.

Goubuli, established in 1858 and headquartered in the northern port city of Tianjin, reported 1 billion yuan in business turnover last year.

The food giant has also gained momentum in its overseas expansion in recent years, by forging a partnership with Singapore-based food manufacturer Tee Yih Jia in October 2013 to sell Goubuli products in over 50 cities in the Asia Pacific market. Endi