Your weekly round-up of the 5 greatest tales from throughout the worldwide espresso trade…
- Are cracks showing in Luckin Espresso’s progress technique?
- Acquisition creates considered one of Germany’s largest bakery-café teams
- McDonald’s brings the competitors to US espresso chains
- 2,200-store bubble tea chain Gong cha acquired by Gail’s proprietor
- Tim Hortons’ restoration hits a pace bump
1. Luckin Espresso has opened greater than 5,200 new shops in China this yr
On the face of it, Luckin Espresso’s second-quarter outcomes have been extra of what we’ve come to anticipate from China’s largest espresso chain – greater than 5,200 new shops for the reason that begin of the yr, rising revenues and strong working earnings.
However, declining like-for-like gross sales in China point out that each one just isn’t nicely in Luckin Espresso’s sprawling property.
2. Newest FSN Capital acquisition creates considered one of Germany’s largest bakery-café teams
Norwegian Personal fairness agency FSN Capital has made its third funding within the German bakery-café market as consolidation within the section intensifies amid heightened competitors and price pressures.
The deal accomplished on 31 July 2026, with FSN asserting the merger of its three family-run bakery-café chains into one working unit – the BrotWert Group.
With a collective footprint of over 500 retailers, primarily throughout Northern Bavaria and the Rhine-Foremost and Rhine-Neckar areas, the brand new entity is likely one of the largest regional bakery teams in Germany, in response to FSN.
3. McDonald’s is recasting itself as a beverage vacation spot within the US
In Could 2026, McDonald’s unveiled a model refresh for McCafé throughout the US in a bid to woo youthful customers, increase afternoon footfall and higher compete with the nation’s largest branded espresso chains.
The Chicago-based fast-food big has additionally rolled out a spread of customisable refreshers, crafted sodas and vitality drinks to place it as a go-to beverage vacation spot for Gen Z customers.
By recasting itself as a standalone beverage vacation spot, McDonald’s is ramping up direct competitors with the biggest branded espresso chains within the US.
Early outcomes point out it’s an strategy that’s working.
4. Bain Capital acquires Gong cha’s 2,200-store world enterprise
Taiwanese bubble tea chain Gong cha has confirmed that it has been bought to US non-public fairness agency Bain Capital for an undisclosed sum.
Stories say the deal was secured at a major low cost to TA Associates’ $2bn asking value.
London-headquartered Gong cha is likely one of the world’s largest bubble tea chains, serving greater than 150 million drinks yearly throughout greater than 2,200 retailers globally.
The operator has now outlined its plans for world progress.
5. Has Tim Hortons’ restoration in Canada stalled?
Ontario-based Tim Hortons started 2026 on the entrance foot with a return to outlet progress following 4 successive years of internet closures and 5.1% annual income progress to $4.2bn.
Disappointing second quarter earnings counsel that the restoration has hit its first main pace bump. However Tim Hortons nonetheless has a number of initiatives within the pipeline that would flip the tide again in its favour earlier than the top of 2026.
