KUALA LUMPUR, June 10 — Private equity firm Creador Sdn Bhd is acquiring a 30 per cent stake in Loob Holding Sdn Bhd, which owns the Tealive bubble tea brand.
In a statement today, Creador founder and chief executive officer (CEO) Brahmal Vasudevan said the firm chose Loob to be its first investment in the food and beverage sector as Tealive has grown to be the regional leader with over 650 stores in less than five years.
“Loob’s impressive revenue of RM307 million and net income of RM58 million for the financial year 2020 translated into a three-year compound annual growth rate of 56 per cent in revenue and 180 per cent in net income,” he said.
Brahmal noted that the investment through Uttama Limited, an affiliate of Creador IV LP, would enable Creador to participate in the growth of Tealive which is present in eight countries.
“The made-to-order tea market in Malaysia has been growing over 20 per cent in the last few years and the beverage chain per million population remains under-penetrated when compared with peers in the region and developed countries,” he added.
Meanwhile, Loob Holding founder and CEO Bryan Loo said the strategic partnership comes at the right time in line with Tealive’s plan to hit the 1,000th store milestone in Malaysia in the next three years.
“We celebrated our 600th store opening in Malaysia last month and we plan to open 100 to 150 stores each year.
“We will continue to focus on our digital strategy and prioritising customer convenience, including various cashless and contactless ordering channels, scan to order, order ahead, and drive-in model, across the store network,” he said. — Bernama