A Highland Coffee store. The coffee chain currently serves more than 100 million customers annually and employs more than 10,000 people. — Photo Fanpage Highlands Coffee

HÀ NỘI — Philippines-based Jollibee Foods Corporation (JFC) has agreed to sell an 11 per cent stake in Highlands Coffee, reducing its ownership to below 50 per cent after more than a decade of controlling the Vietnamese coffee chain.

JFC disclosed on September 23 that it had reached an agreement to partially divest its investment in Highlands Coffee. The buyer is Viet Thai International JSC (VTI), led by David Thái, founder and CEO of Highlands Coffee.

Through its subsidiary JSF Investments Pte Ltd, Jollibee agreed to sell more than 1.46 million shares in SF Vung Tau JSC (SFVT), the entity holding Highlands Coffee's operations in Việt Nam.

The transaction is valued at VNĐ2.3 trillion (US$89 million), before certain adjustments.

Upon completion, Jollibee's ownership in the coffee chain will decline from 60 per cent to 49 per cent.

VTI, meanwhile, will increase its stake from 40 per cent to 51 per cent, regaining control of the business after more than a decade.

The transaction values Highlands Coffee's equity at $800 million. Jollibee said the valuation was significantly higher than the carrying value of its investment.

The Philippine group plans to use the $88 million in proceeds to reduce debt, reinvest in new growth platforms and return capital to shareholders.

Jollibee's involvement with Highlands Coffee dates back to 2012, when the group invested $25 million to acquire nearly half of the Vietnamese business and a majority interest in its Hong Kong operations. It subsequently raised its ownership to 60 per cent, securing control of the company.

Before that, Starbucks had made an offer to acquire Highlands Coffee, but the proposed transaction did not materialise.

The latest ownership change comes as Highlands Coffee prepares for a planned initial public offering (IPO), which is expected to be completed in the first quarter of 2027.

The coffee chain plans to raise between $300-400 million through the offering. Jollibee has appointed Morgan Stanley and the Hochiminh City Securities Corporation as financial advisers for the planned IPO.

Highlands Coffee has also continued to expand its store network. By the end of the second quarter of 2026, the chain operated approximately 1,062 outlets, up sharply from 763 at the end of 2024.

The sale of the 11 per cent stake remains subject to final regulatory approvals before completion. — BIZHUB/VNS