Oyo, Apax also in the running for stake in CCD: Report
Bain Capital, KKR and TPG Capital are also in the fray to pick up a stake in the coffee chain.
November 25, 2019 / 05:49 PM IST
Indian hospitality startup Oyo and British private equity firm Apax are the latest entrants in the race to acquire a stake in Cafe Coffee Day, sources told The Economic Times.
Earlier this month, the newspaper reported that Bain Capital, KKR and TPG Capital were in the running to pick a stake in the Bengaluru headquartered coffee chain. The companies have reportedly begun talks and have signed non-disclosure agreements with Coffee Day Enterprises.
Of the five suitors, Oyo is the only bidder with a presence in a similar business. In August, the SoftBank-backed company launched a coffee chain, The French Press, with two outlets in Delhi and Bengaluru.
Sources also told ET that while some bidders were looking to acquire the CCD brand, others also were interested in the company's wider operations.
As per reports, around 500 CCD outlets have been shuttered across the country since April to counter declining profits and was a part of the company's divestment process.
On November 13, Coffee Day Enterprises, which runs the CCD coffee chain, announced a delay in release of Q2 results. The company's total debt as of August 17 stood at around Rs 4,970 crore.