09:26 | 29.07.09
By Deirdre Hipwell
Arab Investments has completed the purchase of Coffee Republic from administrators KPMG today.
Arab Investments said it intends to commit substantial capital into developing the Coffee Republic brand and will be embarking on further expansion of the branch network which currently includes 80 outlets, of which 20 are outside the UK, including Bulgaria and Saudi Arabia.
Khalid Affara, founder of Arab Investments, said: 'We are delighted to have completed the acquisition of Coffee Republic today and we intend to start growing the business with immediate effect.
'Coffee Republic has a very strong brand name and we are bringing additional investment into the company to expand the number of retail outlets in the UK and elsewhere.'
Richard Hill, joint administrator and KPMG partner, said: 'Im delighted that we have agreed the sale of Coffee Republic, rescuing a substantial part of the business and protecting 62 jobs.
'While coffee shops face tough competition on the high street in these challenging economic times, the amount of interest we received in Coffee Republic is testament to the strength of the brand.'
Arab Investments is a privately owned property investment company based in London, which is developing the tallest building in the City of London, The Pinnacle.
Fiona Hamilton, partner and head of retail at King Sturge advised Arab Investments. King Sturge will be advising on retail and acquisition strategy going forward.