Starbucks has reportedly launched an informal process to sell its UK operations.
On Saturday, The Times reported that Starbucks had begun exploring a sale of its local business. Citing unnamed sources, the paper said the coffee shop giant had tasked Houlihan Lokey to scout out interest in any such sale.
Starbucks operates more than 1,000 outlets in the UK, which employ around 4,000 staff. However, the chain has been hit by rising costs and faces growing competition from rivals.
The Times noted that Starbucks had not initiated a “formal sales process” for the UK business, adding that it continues to “evaluate strategic options” for its directly-owned international operations.
A Reuters report later quoted a company spokesperson as confirming that Starbucks has not launched a formal sale process, although there was no comment on whether an exploratory process had been launched.
NAM Implications:
- After Lockdown, anything goes.
- Starbucks could appeal to hospitality that they could optimise the Starbucks UK footprint.
- NAMs outside the UK might speculate re Starbuck’s intended use of the sale’s proceeds?
