Food giant Nestle and U.S. coffee chain Starbucks are extending their partnership to launch ready-to-drink coffee beverages in markets across Southeast Asia, Oceania and Latin America, the two partners said.
Nestle and Starbucks signed a global licensing deal in 2018 that granted Nestle the perpetual rights to market Starbucks packaged coffee and food service products globally. The initial agreement excluded goods sold in Starbucks coffee shops and ready-to-drink products.
"With our expansion plans into ready-to-drink coffee, Nestle will continue to build on its global leadership in coffee and will benefit from new growth opportunities in a segment that is developing rapidly and attracting new and younger consumers," David Rennie, head of Nestle coffee brands, said in the statement late on Monday.
Under the extended partnership, Nestle and Starbucks will roll out products like Starbucks Frappuccino and Doubleshot to select markets in Southeast Asia, Oceania and Latin America from next year and also develop new products, the two partners said.
Nestle's sales of Starbucks products reached 2.7 billion Swiss francs ($2.95 billion) last year.
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