Starbucks Buys a Bakery, and Baker, for $100 Million

Bloomberg News

http://blogs.wsj.com/deals/2012/06/04/starbucks-buys-a-bakery-and-baker-for-100-million/

The ubiquitous coffee chain agreed to buy San Francisco baker Bay Bread LLC, its La  Boulange bakery brand. It has also hired the chain’s “renowned baker” and founder Pascal Rigo to further transform Starbucks’ menu offerings.

“After more than 40 years, we will be able to say that we are bakers too,” CEO Howard Schultz said

He noted Starbucks shopped around and believes La Boulange is the way to go. It would be the biggest Starbucks acquisition ever, according to CapitalIQ.

It sounds from the release that Starbucks intends to make the most of Rigo as a baker and create more options for eating at its locations at any time of day. The company says it hopes to bring the “artistry of the French bakery” to the world.

“We will leverage our scale and premium product expertise to transform a core part of our business while building La Boulange bakery into a national artisanal bakery brand,” said Cliff Burrows, the head of Americas. “And we will do it with an unwavering commitment to maintaining the uniqueness, quality and level of care that Pascal is known for baking into each of his croissants, pastries, loafs, cookies and breads.”

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s