TORONTO, ONTARIO--(Marketwired - April 12, 2017) - SPOT COFFEE (CANADA) LTD. (TSX VENTURE:SPP) ("SPoT" or the "Company") is pleased to provide an overview of its current operations as well as a brief report on its franchising activities.
At the present time, SPoT has a combined total of sixteen (16) operating cafés and Express outlets in the State of New York. SPoT owns and operates a total of seven (7) cafés located in Buffalo, Rochester, Saratoga Springs and Glens Falls, while the Company's franchisees own and operate four (4) cafés in Orchard Park, Kenmore, Hamburg and Williamsville. Dash's Market operates under license an additional five (5) SPoT Express located in Dash's supermarket and retails SPoT's award winning brewed and gourmet coffee in all their Buffalo supermarkets.
In the first quarter of this year, the Company entered into contract with Parisco Cafés, LLC ("PCL") to franchise five (5) new cafés within the Saratoga Springs, NY and West Hartford, CT corridor. SPoT and PCL are now diligently working to identify and secure two locations by this spring in order to commence the construction of PCL's first two franchise cafés scheduled to commence operation i the third quarter of this year. SPoT and PCL are also working closely with real estate agents and developers to identify and secure three (3) more café locations for their construction later this year in preparation for the commencement of their operation in the first quarter of 2018.
Moreover, the Company has completed negotiations with three other franchisees for the development of three (3) new SPoT Express outlets located in Buffalo's Waterfront Village, West Seneca and Eastside Buffalo.
Recognized for its successful local brand, SPoT has been invited by Rosewell Park Cancer Institute ("RPCI") to submit a proposal for both, a café and Express, to serve their campus. The campus is spread out over 15 separate buildings located on the 100-acre Buffalo Niagara Medical Campus ("BNMC") in downtown Buffalo. The campus also includes a stand-alone hospital which houses a diagnostic and treatment center and a medical research complex. The Company and its architects are currently in the process of submitting a proposal to the RPCI to fully develop a café and an Express. SPoT will report on the outcome of this opportunity in due course.
Accordingly, management realistically anticipates having a combined total of twenty-five (25) cafés and Express outlets by the end of 2017 and thirty-five (35) cafés and Express outlets operating and under construction in New York State and adjacent states by the end of 2018.
Finally, the Company's financial plan anticipates payment of all its outstanding debentures by the summer of 2017 and attaining positive EBITDA corporate level-wise albeit already attaining positive EBITDA at café level.
Mr. Anton Ayoub remarked: "We continue to receive requests from serious prospective franchisees for SPoT cafés and SPoT Express outlets in the State of New York where we are now intensifying our regional expansion and building on the popularity, awareness and strength of our recognized, cherished and admired brand."
About SPoT Coffee
SPoT Coffee trades on the TSX Venture Exchange under the symbol SPP. SPoT designs, builds, operates and franchises community oriented cafés and express cafés in New York State. SPoT's community cafés provide its customers with the highest quality service, signature made-to-order meals and award-winning micro-roasted coffee. Each SPoT café is distinctively designed to suit its local neighbourhood, creating a warm and friendly gathering place for the community. SPoT's commercial business focuses on the sale of roasted coffee beans to food service and grocery chains, business offices and third party resellers such as universities and hospitals.
Forward Looking Statements
Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. In particular, forward-looking information in this press release includes, but is not limited to, the potential use of proceeds of the financing that is the subject of this release. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.
Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. The forward-looking information contained in this news release is expressly qualified by this cautionary statement. Except as required by applicable securities laws, the Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of the release.