News

Cinnabon expanding in Eurasia with Georgia agreement

August 1, 2013

Cinnabon Inc. has signed a master franchise deal to develop several bakeries in Georgia, marking the brand's entry into the Eurasian country.

Under the agreement, master franchise partners Sam Samuelyan and Stepan Panosyan of BrandCity LLC, will open seven stores in Georgia within the next six years. The partners expect to open the first location in the capital city of Tbilisi in 2014.

Although new to Georgia, the Cinnabon brand has a presence throughout Europe and Asia, with locations in bordering Azerbaijan, Armenia and Turkey. In nearby Russia, Cinnabon has opened 103 locations in four years, with plans for another 30 in the next year.

"The master franchise agreement in Georgia, a previously untapped market, represents the tremendous opportunity abroad for Cinnabon," said Mike Shattuck, president of parent company FOCUS Brands International. "We're excited to have the opportunity to work with such esteemed businessmen as Mr. Samuelyan and Mr. Panosyan and to introduce our product to the country."

Through BrandCity, Samuelyan and Panosyan also operate Cinnabon in Armenia, as well as a diverse portfolio of brands, including KIA Motors, Paul Bakeries, Segafredo Zanetti coffee shops and Southern Fried Chicken.

Cinnabon has more than 1,000 locations in 55 countries. By year's end, Cinnabon projects new market launches in Morocco, Tunisia, Albania, Iraq, Mongolia and Ukraine. Overseas expansion will remain a central growth initiative for the foreseeable future, Shattuck said, and Cinnabon is currently seeking franchise partners in North African countries, as well as Korea, Taiwan, Brazil, Spain, France and Germany.

FOCUS Brands International expects to open more than 260 global units of all its franchise concepts throughout 2013.

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