Jacobs Douwe Egberts (JDE) and Ofcay have created a joint venture formed of their Turkish businesses to open up growth opportunities in the country’s hot beverages space.
The partnership also aims to create synergies for both companies through the combination of both JDE’s international dimension and expertise in coffee with Ofcay’s local presence in tea.
Under the terms of the agreement, both companies will contribute their existing local assets and will operate under the same umbrella. Ahmet Bülent Kasap will be appointed CEO of the partnership.
Ofcay has been at the forefront of the Turkish tea market since 1985, the year in which the state monopoly of the tea market was abolished.
Earlier this year, JDE’s $361 million acquisition of Malaysian coffee chain OldTown Berhad was approved by competition authorities.
Founded in 1999, OldTown operates 232 café outlets, comprising 189 in Malaysia, nine in Singapore, 27 in Indonesia, one in Australia, three in China, one in Hong Kong and two in Myanmar. The outlets operate under the OldTown White Coffee brand name.
Last year JDE further expanded in Asia with the with the acquisition of Singapore-listed coffee manufacturer Super Group.
JDE’s coffee and tea portfolio is available in over 140 countries through brands such as: Jacobs, Tassimo, Moccona, Senseo, L’OR, Douwe Egberts, Super, Kenco and Pilao & Gevalia.
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