Starbucks refinances Irish unit
COFFEE giant Starbucks has authorised the increase of share capital in its Irish unit by €20m. Recent Companies Office filings show Starbucks Coffee Company recently received the €20m increase in share capital.
The authorisation is four times the amount of the previous increase in share capital of €4.9m that was made in October 2009.
The significant increase in share capital follows years of successive losses in 2010, 2009, 2008 and 2007 at the Irish subsidiary. The company had a shareholders deficit of €8m at the end of last year.
There are currently 23 Starbucks outlets in Ireland. Asked to comment, a spokeswoman for Starbucks said it had no plans for expansion here.
However, she said: "We're just as committed to the Irish market as ever."
She said: "We've recently signed a new multiple-licensed store deal with the Butler Brothers, including the opening of a Starbucks in the former EBS building on Westmoreland St, Dublin."
The iconic coffee brand opened in Ireland in 2005. It has closed five stores, which contributed to revenues declining by 1pc from €18.1m to €16.1m.