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World's Second-Largest Coffee Chain 'Costa Coffee' Exits S'pore - Acquired By Coca-Cola For US$5.1B

Costa Coffee outlets in Singapore have been dropping like flies in the last 3 and a half months.

With 6 outlets already closed, the second largest coffee chain in the world announced that it will shut down the remaining two shortly.

Its outlet at Holland Village will cease operations on Friday, while the one at VivoCity is set to close next Sunday.

A Costa spokesperson said the company, which first came to Singapore in 2012, made the decision to close all eight of its outlets at the beginning of this year.

The British chain has struggled to compete against its formidable rival in the mass coffee market, Starbucks, as well as new independent coffee shops that offer Singaporeans artisanal brews.

Its exit from Singapore will not affect Costa’s other Southeast Asian operations, and the chain says it is “committed to remaining within the Southeast Asia region and [has] ambitious plans to grow the Costa brand.”

Last week, it was announced that The Coca-Cola Company will be taking over Costa Coffee from its parent company Whitbread, in a US$5.1 billion deal.

Featured Image Credit: The Chosen Glutton

 

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