Coffee Bean. New pastries
Coffee Bean to sell Abulafia pastries
Famous Jaffa bakery enters 50% partnership with café chain; deal subject to banks' approval
Israelis will soon be able to combine their cups of coffee bought at the Coffee Bean & Tea Leaf chain with the Abulafia family's pastries. The Jaffa family, which owns the famous Abulafia bakery near the Clock Tower, has entered a 50% partnership with the café chain.
The Abulafia family has reached an agreement with the café chain, which operates in Israel under a franchise from the international Coffee Bean company. The agreement is subject to the banks' approval.
If the deal goes through, Abulafia will buy half of the franchise from Dan Werner, who purchased it a year and a half ago for $5 million.
Coffee Bean has 18 branches in Israel. The Abulafia family is also involved in real estate and import businesses.
The new partnership will bring Abulafia's gourmet pastry line to Coffee Bean's customers. It includes butter croissants, almond pastries, rolls and sour bread.
Abulafia will replace Lehem Erez and Osem's Bonjour company, which have been supplying Coffee Bean's pastries until now.
The new line is aimed at creating a unique identity to Werner's chain. Werner, a former owner of the Norcat catering company, owns the Morag food group. He also owns the franchise for the Sbarro chain in Israel, sushi chain Same Same and the operation of food services at the Green Villa in north Tel Aviv.
Coffee Bean was introduced to the Israeli market in 2000 by Giora Naftali, late advertiser David Tamir and businessmen Oded Korichoner, Yoram Hishin and Baruch Ivcher, who lives in Peru.
The multiple owners, who viewed the chain as a tiny business, made it difficult for it to develop on the backdrop of the strong competition between café chains in Israel, and so they decided to sell it.
An industry source estimated that the merger phenomenon will grow in light of the strong competition in the industry.
After replacing its ownership, Coffee Bean plans to continue expanding by adding more franchisers. A new branch will soon open in the southern city of Beersheba.
