Pantaloon partners US chain Coffee Bean & Tea Leaf

04 Sep 2007

Mumbai: Pantaloon Retail India Ltd has entered into a franchise agreement with the US chain The Coffee Bean & Tea Leaf.

The joint venture will see a the formation of a privately held speciality chain, with Blue Foods, Pantaloon''s joint venture company, being the master franchise.

The deal could see the set-up of another coffee chain, similar to Lavazza Group''s Barista, Whitbread Costa Coffee and Cafe Coffee Day, which have seen robust growth driven by modern retail formats, and higher disposable incomes.

Earlier reported to be keen on a franchise deal with coffee chain Starbucks, newspapers report that the deal was scuttled after India''s foreign investment board (FIPB) rejected the application citing an unclear equity structure.