Jamba Juice Announces Completion of Refranchise Agreement with Vitaligent, LLC For Sale of 73 Stores in Sacramento and San Francisco Markets
EMERYVILLE, Calif. - (BUSINESS WIRE) - July 28, 2015 - Jamba Juice Company (NASDAQ:JMBA), a leading healthy, active lifestyle brand announced today the completion of a refranchising agreement for 73 stores in the San Jose/Easy Bay and Sacramento markets with Vitaligent, LLC (“Vitaligent”). Under the terms of the agreement the Company will receive $25 million in cash. The Company expects to sell the remaining 27 Company locations in the San Diego market by the end of 2015.
“We see the closing of the first 73 stores as a great accomplishment for our continued refranchising efforts toward an asset light business model,” stated James D. White, chairman, president and chief executive officer of Jamba. “Given the size and complexity of this transaction we have decided to delay the refranchising of the San Diego stores to the end of 2015 in order to complete the Northern California transaction with excellence. We are still fully on track to close Phase II of our accelerated refranchising initiative by year end, reaching our goal to move to a franchise to company-owned store ratio of 90%/10%.”
About Jamba Juice Company
Founded in 1990, Jamba, Inc. is a leading restaurant retailer of better-for-you, specialty beverage and food offerings, which include great tasting, whole fruit smoothies, fresh squeezed juices and juice blends, hot teas, and a variety of food items including hot oatmeal, breakfast wraps, sandwiches, Artisan Flatbreads™, baked goods, and snacks. As of June 30, 2015, there were 807 Jamba® stores system-wide in the United States, of which 601 are franchise-operated stores, and 206 are Company-owned. Jamba is a proud sponsor of "Team Up for a Healthy America" in the fight against childhood obesity and encourages fans to join the Team Up community of celebrities, athletes, and other leaders committed to getting kids active and involved at www.myhealthpledge.com. Fans of Jamba Juice can find out more about Jamba Juice's locations as well as specific offerings and promotions by visiting the Jamba Juice website at www.JambaJuice.com or by contacting Jamba's Guest Services team at 1-866-4R-FRUIT (473-7848).
This press release (including information incorporated or deemed incorporated by reference herein) contains “forward-looking statements” within the meaning of the Private Litigation Reform Act of 1995. Forward-looking statements are those involving future events and future results that are based on current expectations, estimates, forecasts, and projects as well as the current beliefs and assumptions of our management. Words such as “outlook,” “believes,” “expects,” “appears,” “may,” “will,” “should,” “anticipates,” or the negative thereof or comparable terminology, are intended to identify such forward looking statements. Any statement that is not a historical fact, including estimates, projections, future trends and the outcome of events that have not yet occurred, is a forward-looking statement. Forward-looking statements are only predictions and are subject to risks, uncertainties and assumptions that are difficult to predict. Therefore actual results may differ materially and adversely from those expressed in any forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, those discussed under the section entitled “Risk Factors” in our reports filed with the SEC. Many of such factors relate to events and circumstances that are beyond our control. You should not place undue reliance on forward-looking statements. The Company does not assume any obligation to update the information contained in this press release.
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SOURCE Jamba Juice Company
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