Bulgarian venture capital firm Invenio Partners and Warsaw-based Accession Capital Partners (ACP) have acquired a majority stake in Romania’s largest branded coffee chain 5 To Go, as part of its international expansion.
The value-focused coffee brand founded in 2015 by Radu Savopol and Lucian Badila started with a small coffee shop out of a garage in the old centre of Bucharest. By 2019 it already became the biggest coffee chain in Eastern Europe and also the most accessed franchise in Romania.
The investment funds will acquire 60 per cent stake in 5 to Go, while Savopol and Badila will continue to own a 25 per cent stake and will remain at the helm. Businessman Andrei Alecu will retain a 5 per cent stake and Mozaik Investments, which partnered up with the company in December 2019, will retain a 10 per cent stake.
Radu Savopol (L) and Lucian Badila (R), co-founders of 5 To Go (Image credit: 5 to Go)
The new partnership will support both the international expansion of 5 To Go, aiming to access several new countries with significant potential, and the strengthening of its position in the local market, which exceeds 150 cities with a network of 300 franchisees. The company has recently exceeded the milestone of 600 coffee shops, advancing to the 7th place in the European top of coffee chains, according to the ranking published by Food Service, Europe & Middle East for the year 2023.
“The collaboration with Invenio and ACP is more than a financial partnership. We share a common vision of growth and sustainability, which gives us the confidence that together we will reach new horizons” Savopol told a press conference. “Mozaik Investments support remains a valuable, its contribution in recent years has prepared us for this new chapter. The value of the company is now far beyond what we imagined in 2019” he added.
This year, 5 to Go said it outperformed its budget forecast by 10 per cent, with the FY25 forecasts targeting approximately €72 million.
The transaction with the two funds is subject to regulatory approvals by the Romanian authorities and will most likely be completed in the first quarter of 2025.
5 to Go at a Glance
Founded: 2015 Headquarters: Bucharest Coffee shops: 600 Turnover: €72 million (2025 forecast)
