Seneca Partners are pleased to announce they have supported an exciting multi-million pound deal by providing a cornerstone seven figure investment to 23.5 Degrees Limited, Starbucks’ first franchisee globally. The transaction was led by Connection Capital and the total funding package of more than £10m will enable 23.5 Degrees to open 12 new stores per annum for the next 4 years.
Seneca’s Investment Director, John Davies commented, “23.5 Degrees is run by an established, high quality management team and Seneca are pleased to be supporting their growth plans. Starbucks is an instantly recognisable international brand with a strong customer base and the market is well positioned for significant further growth over the coming years. We are excited to be working with Connection and the 23.5 Degrees management team and look forward to growing the Starbucks partnership over the next few years.”
With over 20,000 stores worldwide Starbucks recently announced plans to open 1,500 franchise stores in the UK over the next 5-7 years. 23.5 Degrees are led by a very strong management team and are well placed to continue to develop their partnership with Starbucks as they increase the scale of their franchise estate. 23.5 Degrees is led by Anil Patil, Mark Hepburn and James Garner who have extensive food retail backgrounds with brands including Dominos, Burger King, Costa Coffee and KFC.
Seneca Partners Director, Richard Manley added, “We continue to see strong demand for the type of growth capital that we provide across all sectors. EIS particularly has a crucial role to play in continuing to provide a route via which SMEs can attract finance to support their growth. We are looking to add to our portfolio of investee companies with a particular focus on those companies whose funding requirement is between £1m and £3m. We are excited about working with more high growth companies and supporting them on their journey as they continue to grow.”