In an official press release today, Starbucks-competitor Dunkin’ Brands Group, Inc., (Nasdaq: DNKN) has confirmed that it has held preliminary discussions to be acquired by Inspire Brands.
A leading franchise-based Quick Service Restaurants services provider, Dunkin’ Brands Group is the parent company of two of the world’s most recognized brands, Dunkin’ and Baskin-Robbins.
The COVID-19 pandemic has disrupted the global business scenarios with some major irreversible effects. The worst hits are retail and travel industries that have lost billions of dollars within 6 months since the pandemic lockdown started to take effect in every nation-state. Most companies tried to cut down on their losses by reducing their marketing and technology budgets, there were others who got rid of employees and non-performers to save and recover from losses in the future. Another major trend that we witnessed during the COVID-19 was the growing number of mergers, acquisitions and buy-outs of iconic brands and companies.
At the time of writing this story, we could not confirm if there is any certainty that an acquisition agreement was reached.
As of December 2018, Dunkin had over 50 million customers across 8500 registered US outlets; 3200 international outlets in 36 different countries.
In April, Dunkin’ U.S. reported its comparable store sales declined 2.0% in the first 10 weeks of the quarter, including positive ticket and traffic, was offset by a comparable store sales decline of 19.4% in the last three weeks of the quarter.
In the first quarter, Dunkin’ Brands franchisees and licensees opened 38 net new restaurants globally. This included 7 net new Dunkin’ U.S. locations and 14 Baskin-Robbins International locations. It also opened at 23 Dunkin’ International location. Additionally, Dunkin’ U.S. franchisees remodeled 32 restaurants and Baskin-Robbins U.S. franchisees remodeled 6 restaurants during the quarter.
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