Dean & DeLuca, the gourmet food retailer founded in New York City in 1977 which has grown into a global leader in its category, has been bought by Thai investors.
Pace Development Corporation will pay US$140 million for the Dean & DeLuca brand along with its global business and assets.
The purchase includes the supply chain and operations of 11 outlets and two commissaries in the US and licensing agreements covering 31 international locations, among them Japan, Singapore, South Korea, Thailand, Kuwait, Qatar, and the UAE.
The first Dean & DeLuca was opened in New York City’s SoHo district by Joel Dean, Giorgio DeLuca and Jack Ceglic in September 1977. Since then it has established an immovable place at the forefront of gourmet food and grocery retailing and coffee in New York and beyond.
Sorapoj Techakraisri, CEO of Pace Development Corporation, describes the brand as iconic and says it has “extraordinary potential for rapid growth globally”.
“We expect to open hundreds of new stores in the next two years to add to the current 42 stores, and to increase our global footprint from eight countries to more than 15 in the same period through licensing and our own investments.”
Pace says the purchase will boost Pace’s capabilities as a developer of super-premium mixed use developments and fuel rapid global growth of the Dean & DeLuca gourmet food and beverage retailing business for which it already has the Thai rights.
“We want to capitalise on the global convergence of super-premium mixed-use property development and lifestyle brands. The best margins in the business of premium property development of the future is in offering customers a lifestyle — not just bricks and mortar.
“People want a total delivered environment where they feel good about living. It’s why we must be able to bring into our properties some of the world’s best lifestyle brands. It’s a proven model already successfully deployed by thought-leaders in property and retail property development.”
Sorapoj said Pace would “fully maximise the potential of the Dean & DeLuca brand”.
“Its equity is as distinct as it is strong, standing for the finest food and food-related products, while the business has a well-established track record of almost 40 years. There is also an outstanding organisation staffed with great talent. We intend to retain the current management team and to incentivise them in line with our vision.”
Sorapoj said Pace understands ‘quality’ and how to work with premium brands, already working with premium global brands in lifestyle and specialty retailing and with a track-record of success in this field. Partnerships include fashion icon Vogue Lounge, multiple Michelin-star gourmet dining L’Atelier de Joel Robuchon and the Ritz-Carlton Residences, Bangkok.
