It shows like Tim Horton has already run out of space in “the land of maple leaf” and they are on the move to set foot to the land of the silk country, China.
It is announced recently that the big Canadian coffee chain company will open more than 1,500 branches in China over the next decade, through a partnership with private equity firm Cartesian Capital Group.
“China’s population and vibrant economy represent an excellent growth opportunity for Tim Hortons in the coming years,” said Alex Macedo, president of the company known for its coffee and donuts.
“We have already seen Canada’s Chinese community embrace Tim Hortons and we now have the opportunity to bring the best of our Canadian brand to China,” his statement said.
The insatiable appetite of the Chinese people to western food is the basis of the movement.
Tim Horton’s giant competitors Starbucks, (SBUX), McDonald’s (MCD) and KFC and Pizza Hut owner Yum Brands (YUM) all have a major presence in the Chinese market. That is why the company known for its coffee and donuts is up for the challenge to expand more their presence in China.
The big coffee chain was bought by Burger King last 2014 for C$12.5bn ($11.4bn), and Tim Hortons now boasts 4,700 locations worldwide, mostly in Canada and the United States.
The Cartesian also partnered with Restaurant Brands to bring more than 900 Burger King locations to China, as part of a joint venture with the Kurdoglu family, a Turkish-based franchisee of Burger Kings internationally.
Even there is an ongoing escalation of US tariffs against China, the investors were pleased to know the news, that the big Canadian Coffee Chain is expanding their presence in China. As the result of this shares of Restaurant Brands rose 2% Wednesday.