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Dunkin’ slates 105 units in its biggest franchise deal

CANTON Mass. In what it called the biggest expansion deal in its 57-year history, Dunkin’ Donuts has granted franchise rights to Heartland Coffee Co. of Pittsburgh, Pa., for 105 new units throughout the city and surrounding Allegheny County.

The units are expected to begin opening within 18 months, with the rest to be built out over several years. The locations will include freestanding units as well as sites within retail outlets and shopping centers. There are currently about 10 units in the Pittsburgh area, according to reports.

The chain, which has about 5,400 U.S. locations, said it wants to triple the number of Dunkin’ Donut stores throughout the United States to 15,000 by the year 2020. Dunkin' also has about 1,800 stores overseas.

Dovetailing with Dunkin’s efforts to introduce its brand to new markets, the company earlier this month announced a licensing agreement with Cincinnati-based Proctor & Gamble that would put packaged Dunkin’ coffees in select grocery stores, mass merchandisers, club stores and drug stores nationwide by September, greatly expanding the number of retail outlets where packaged Dunkin’ coffees can be found.

Canton-based Dunkin’ Brands Inc., parent of the Dunkin’ Donuts, Baskin-Robbins and Togo’s brands, was acquired in early 2006 from French beverage firm Pernod Ricard by private equity firms Thomas H. Lee Partners LP, the Carlyle Group and Bain Capital Partners for $2.43 billion.

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