Chatime ex-master franchisee to serve 5m customers

PETALING JAYA: Loob Holdings Sdn Bhd plans to grow its business and serve five million customers per month by next year from two million customers now, under a new brand name to be unveiled before March 6, chief executive officer Bryan Loo Woi Lip said.
Speaking at a press conference on Loob's future plan, he said the company would increase the number of its outlets to 250 and spend RM10 million to introduce a new brand name.
"We are confident of doing better based on our track record," he said, adding the company would maintain the current business structure.
Loob operates and owns 165 outlets directly and indirectly through partners and sub-franchisees under the "Chatime" franchise in Malaysia.
However, the business is in limbo after franchisor La Kaffa International Co Ltd of Taiwan terminated the franchise on Jan 5.
Loo said the company would renegotiate the agreements with petrol station operators to continue operating the outlets under a new brand name.
It is also embarking on a strategy of aggressively expanding outlets at new petrol, light rail transit and mass rapid transit stations.
The cost of setting up a new outlet ranged between RM400,000 and RM500,000 depending on various factors such as locations, he said.
Loo expressed optimism that its new brand name could compete with "Chatime" if La Kaffa intended to operate by itself in Malaysia.
"If they open an outlet, we will open our own outlet next to them," he said.
Despite the unexpected termination, he reiterated the interest of the company, established in 2010, to list on Bursa Malaysia next year.
Besides "Chatime", Loob also manages a diverse portfolio of food and beverages brands including Tino's, Pizza and Soda Xpress. — Bernama