Business

Second Cup coffee chain sold for $14M to Quebec restaurant owner Foodtastic

Aegis Brands Inc. says it has signed a deal to sell its Second Cup Coffee Co. operations to Quebec-based Foodtastic Inc.

Second Cup was part of chain that also owns Ottawa's Bridgehead coffee

The Second Cup Ltd. changed its name to Aegis Brands as part of a plan to diversify beyond coffee shops. (Paul Chiasson/Canadian Press)

Aegis Brands Inc. says it has signed a deal to sell its Second Cup Coffee Co. operations to Quebec-based Foodtastic Inc.

The company says the sale price includes $14 million in cash, plus a post-closing earn-out.

Aegis Brands says the deal will strengthen its balance sheet and allow it to accelerate its growth strategy through acquisitions.

Foodtastic is a franchiser of multiple restaurant concepts.

The Second Cup Ltd. changed its name to Aegis Brands as part of a plan to diversify beyond coffee shops.

In addition to Second Cup, Aegis Brands owns the Ottawa-based Bridgehead coffee shop chain and Hemisphere Cannabis Co.