Starbucks Deal Drives Alsea to Record High: Mexico City MoverJonathan Levin
Alsea SAB surged to a record after purchasing the rest of Cafe Sirena S de RL, which operates Starbucks stores in Mexico.
Alsea, which also operates Burger King restaurants in the country, jumped 3.4 percent to 36.61 pesos at the close of trading in Mexico City. The benchmark IPC index of 35 Mexican companies rose 0.4 percent.
Alsea bought the 18 percent of Starbucks operator Cafe Sirena it didn’t already own, according to a regulatory filing yesterday that didn’t disclose the financial terms of the transaction. Alsea also agreed to open 50 cafes a year for the next five years, according to the statement.
The transaction eliminates the risk Starbucks would exercise an option to buy a 32 percent stake in the company, according to Corporativo GBM SAB. That’s one of the “main positive” takeaways from the deal, GBM analysts led by Luis Willard wrote in an e-mailed report today.
Alsea has advanced 42 percent this year, the most on the IPC index, which has climbed 0.9 percent in the period.