Tiong Bahru Bakery and Common Man Coffee roasters to open in PH with joint venture

Philippine fast-food company, Jollibee Foods Corporation (JFC) is reportedly set to open Singapore grown Tiong Bahru Bakery and Common Man Coffee Roasters in the Philippines through a joint venture with a company called Food Collective.

The joint venture will see JFC holding a 60% stake while Food Collective will own the remaining 40%. Both companies are looking to invest up to 250 million Philippine pesos (S$6 million) and Jollibee Foods will be managing and operating the business, according to The Business Times.

Don't miss: AEV and Coca-Cola bottler CCEP to jointly acquire Coca-Cola Beverages PH

Both brands reportedly came under the JFC umbrella in 2022, through a private equity fund called Titan Dining which owns 80 per cent of Food Collective.

Food Collective is a subsidiary of the Spa Esprit Group which owns both Tiong Bahru Bakery and Common Man Coffee Roaster along with brands such as Drunken Farmer and Open Farm Community.

The expansion of Singapore food brands to the Philippines is part of JFC’s plans to strengthen its foreign franchised brands in the Philippines to become the leading foreign restaurant franchisee in the country, according to the Manila Bulletin.

Joseph Tanbuntiong, the Jollibee Group country head for Philippine business said that the company aims to leverage on its brand portfolio to provide a diverse offering to satisfy various market segments.

The group also plans to strategically expand its store network which includes Burger King, Yoshinoya and Panda Express to ensure the sustainable growth of its domestic business.

JFC has also announced plans that it is aiming to expand its global presence by opening up 600 stores this year.

In a stock exchange filing, Jollibee said it plans to open 550 to 600 owned and franchised stores in 2023, expecting the capital expenditures to range from P17 to P19billion. This exceeds the total stores opened last year, which was 542.

Based on its target for the year, the JFC Group projects full year systemwide sales to be up by 15% to 20%, with same store sales growth of 7% to 10%. Operating income growth will be in the range of 20% to 25%.

Related articles:
Jollibee Food Corp divests Pho24 to grow other core areas
Capital A partners with PH's UnionDigital Bank to facilitate greater ease of travel
Jollibee and McCann Worldgroup unveil new Mother's Day film tugging at Filipinos' heartstrings