Happy Belly's Smile Tiger Coffee Roasters Signs 25-Unit Area Development Agreement in British Columbia
Rhea-AI Summary
Happy Belly Food Group (CSE: HBFG) (OTCQB: HBFGF) has signed a significant area development agreement for 25 new franchised locations of Smile Tiger Coffee Roasters in British Columbia. This agreement, signed on February 12th, 2025, follows the recent acquisition of Smile Tiger on January 27th, 2025.
The company has partnered with Scott Grandin, described as one of Canada's top Area Developers in the QSR industry. Happy Belly currently maintains 446 contractually committed retail franchise locations across its portfolio brands, including those in development, under construction, or already operational.
The company's strategy focuses on acquiring cash-flow-positive, debt-free brands with positive same-store sales, aiming to double EBITDA within 24 months. Happy Belly's portfolio includes brands such as Heal Wellness, iQ Foods, Via Cibo, Rosie's Burgers, and Yolks Breakfast.
Positive
- Secured 25 new franchise locations in British Columbia
- Portfolio includes 446 contractually committed retail franchise locations
- Recent acquisition (Smile Tiger) is cash-flow-positive and debt-free
- Shows positive same-store sales performance
- Strategic expansion plan aims to double EBITDA in 24 months
Negative
- None.
News Market Reaction
On the day this news was published, HBFGF gained 0.88%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Toronto, Ontario--(Newsfile Corp. - February 13, 2025) - Happy Belly Food Group Inc. (CSE: HBFG) (OTCQB: HBFGF) ("Happy Belly" or the "Company"), a leading consolidator of emerging food brands is happy to announce that, as of February 12th, 2025 it has signed an area development agreement for the province of British Columbia to open 25 new franchised locations of its newest acquisition that closed on January 27th, 2025, Smile Tiger Coffee Roasters ("Smile Tiger"), an emerging brand in the quick service beverage industry.
Smile Tiger 1
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"As we continue to focus on asset light growth, it made so much sense to partner with Scott Grandin who is easily one of the top Area Developers in Canada's QSR industry," said Sean Black, Chief Executive Officer of Happy Belly. "We are committed to creating shareholder value across our portfolio with our disciplined approach to organic & inorganic growth as we are just getting started in the quick service beverage industry. Acquiring cash-flow-positive brands that are debt-free and demonstrate positive same-store sales like Smile Tiger aligns with our low-risk strategy for delivering consistent returns. Now our focus is on leveraging our platform to scale the brand across Canada with a focus on doubling the EBITDA in 24 months or less."
"We currently have 446 contractually committed retail franchise locations from area developers across all emerging brands in the Happy Belly Food Group portfolio including those in development, under construction or already open. We are working to actively expand this pipeline significantly in 2025 & 2026 with our disciplined approach to growth. It is key for us to continue selecting the right franchise partners along with the right real estate in order to achieve our development goals for the brands. The selection process has now officially started."
Smile Tiger 2
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"Happy Belly's track record over the last several years speaks for itself-whether with Heal Wellness, iQ Foods, Via Cibo, Rosie's Burgers, or Yolks Breakfast, we have consistently proven our ability to acquire high-potential assets at reasonable multiples and rapidly expand their EBITDA. Smile Tiger is no exception. Signing this area development agreement for 25 net new locations in British Columbia alone, exemplifies our ability to identify and integrate strong-performing brands, setting them up for even greater success under our Happy Belly operational framework."
Smile Tiger
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We are just getting started
About Smile Tiger Coffee Roasters Inc.
Our coffee brand is built on the art of unique, in-house roasting. By sourcing premium, ethically grown beans from around the globe, we ensure every cup delivers unparalleled freshness and flavor. Our expert roasters meticulously craft each batch, unlocking the distinct profiles and aromas that set us apart. From rich, bold blends to delicate, nuanced single origins, our roasting process is a celebration of coffee's diversity. Committed to sustainability and quality, we bring you an exceptional coffee experience, roasted to perfection and tailored to delight even the most discerning coffee enthusiasts.
Smile Tiger's coffee roasting capabilities, including consumer-packaged goods (CPG) and white-label products, provide large-scale commerce capabilities. This strategic advantage, combined with delivering exceptional coffee and outstanding service, positions us to capitalize on the growing demand in the coffee, tea, bubble tea, energy drink, and refresher markets-categories transforming the quick serve beverage industry across North America.
Franchising
For franchising inquiries please see www.happybellyfg.com/franchise-with-us/ or contact us at hello@happybellyfg.com.
About Happy Belly Food Group
Happy Belly Food Group Inc. (CSE: HBFG) (OTCQB: HBFGF) ("Happy Belly" or the "Company") is a leading consolidator of emerging food brands.
Happy Belly Food Group
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Sean Black
Chief Executive Officer
Shawn Moniz
Chief Operating Officer
FOR FURTHER INFORMATION, PLEASE VISIT:
www: www.happybellyfg.com or email hello@happybellyfg.com
If you wish to contact us please call: (604) 737-2303
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this press release, which has been prepared by management.
Cautionary Note Regarding Forward-Looking Statements
All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to the Company within the meaning of applicable securities laws. Forward-Looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur and include the future performance of Happy Belly and her subsidiaries. Forward-Looking statements are based on the opinions and estimates at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements. There are uncertainties inherent in forward-looking information, including factors beyond the Company's control. There are no assurances that the business plans for Happy Belly described in this news release will come into effect on the terms or time frame described herein. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis and other disclosure filings with Canadian securities regulators, which are posted on www.sedarplus.ca.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/240754
FAQ
How many new Smile Tiger Coffee locations will HBFGF open in British Columbia?
When did HBFGF acquire Smile Tiger Coffee Roasters?
How many total franchise locations does HBFGF have in development?
What is HBFGF's EBITDA growth target for Smile Tiger Coffee?
What brands are currently in HBFGF's portfolio?
