Canadian coffee chain Second Cup has announced the implementation of a new operating structure in support of its new business strategy.
Subject to the Toronto Stock Exchange and shareholder approval, the existing public company will change its name to Aegis Brands, which will own and operate the existing Second Cup business as part of a portfolio of brands. Steven Pelton, President and CEO of Second Cup, will assume the role of CEO of Aegis Brands.
“We created Aegis with the vision of building a portfolio of amazing brands that can grow and flourish with access to our resources and expertise. We are committed to letting each company under the Aegis Brands umbrella operate as an independent brand, and to working with them to provide shared expertise – and shared services – to help them thrive,” Pelton says.
The company intends to contribute the existing Second Cup Coffee Co business to a wholly-owned subsidiary in the new year. Although Second Cup is the only brand under the Aegis umbrella as of today, Pelton confirmed that the company is actively seeking acquisitions with a focus on the foodservice, coffee, and cannabis sectors.
In addition to assuming the leadership of Aegis Brands, Pelton will also maintain his role as President of Second Cup. Second Cup Chief Financial Officer Ba Linh Le will become the CFO of the parent company.
Second Cup will seek shareholder approval to change its name to Aegis Brands at the company’s next Annual General Meeting in May 2020. The name change will require approval by two-thirds of votes cast at the meeting.