Chinese company Luckin Coffee has entered into a memorandum of understanding (MoU) with integrated food product company Kuwait Food Company Americana (Americana Group) to form a joint venture (JV).
The JV will be established to run a new coffee retail business in the Greater Middle East and India.
Americana Group CEO Kesri Kapur along with Chinese and Arab government officials signed the MoU in Beijing.
Luckin Coffee founder and CEO Jenny Qian Zhiya said: “This collaboration represents Luckin Coffee’s first step toward bringing its leading products from China to the world.
“We look forward to further expanding the freshly brewed coffee market internationally as we realise the incredible growth opportunities available to us through our innovative business model.”
According to Kapur, the group believes that this deal will revolutionise the food and beverage retail industry in the Greater Middle East and India regions.
Kapur said: “We at Americana believe this MoU will revolutionise the food and beverage retail industry in the Greater Middle East and India, regions that provide promising propsects for new retail growth and expansion.
“We have worked with many leading and revolutionary food and beverage brands over our history and believe that Luckin Coffee’s superior products, experience and services will deliver success in these regions.”
Established in Kuwait in 1964, Americana Group, along with its two divisions, currently operates 1,900 restaurants in 13 markets and 25 food production sites in the UAE, Saudi Arabia, Kuwait, and Egypt.
Headquartered in Xiamen, China, Luckin Coffee currently operates more than 3,000 stores across 40 cities in China.
The coffeehouse chain plans to expand its business and open more than 4,500 stores by the end of this year.