Global Bubble Tea Brand Investing Aggressively in North America Expansion

Gong cha seeking franchisees in the U.S.

BOSTON–(BUSINESS WIRE)–Gong cha, one of the world�s most recognized Taiwanese tea brands, today announced that it is actively seeking additional franchisees in the United States. The company is aggressively seeking to further grow its U.S. presence as part of a broader North America expansion.

A staple throughout Asia with a loyal following since the 1980s, Gong cha bubble tea has become a daily treat for in-the-know consumers across the U.S. According to Allied Market Research, the American bubble tea market is now a multi-billion-dollar business and is expected to double in size by 2027.

With relatively low investment to open new stores and an attractive business model, Gong cha franchisees have thrived. The company employs a mostly take-out model, offering bubble tea through delivery as well as in-store pickup. Despite the global pandemic, new stores have continued to open around the world, including in the U.S. Gong cha now has stores in 19 countries with over 1,300 locations. Recently acquired by TA Associates, a leading global growth private equity firm, Gong cha is well-positioned for continued growth.

Gong cha’s famous bubble tea is a premium milk tea infused with pearls (delicious chewy pearl-shaped tapioca), flavored with fruit and other toppings and usually served over ice. Gong cha’s top flavors include Pearl Milk Tea and Brown Sugar Milk Tea, and the company regularly offers seasonal products, such as Mango Milk Foam Slush and Crème Brulee. Gong cha uses only the highest-quality, premium tea sourced from the finest tea estates, serving freshly-brewed, customized bubble tea in 600 combinations, offering customers a new bubble tea experience with every visit. The company’s dedication to quality is the foundation of its promise to customers, helping to generate repeat business.

Gong cha has fueled its North America growth plan by attracting top industry talent to its management team across all disciplines. Einar Gustafsson recently joined Gong cha as CEO, Americas & Europe, to quickly scale-up the company’s presence in these markets. He was previously Managing Director for Bakkavor Asia, an integrated food manufacturing company, specializing in chilled, prepared food, and helped build Bakkavor’s presence in China.

“I am excited to share the Gong cha opportunity with interested potential franchisees,” said Mr. Gustafsson, Gong cha CEO, Americas & Europe. “Gong cha is a leading brand in a fast-growing category, and the unit model economics are very attractive. With a fairly straight-forward operating model and relatively low upfront capital requirements, a Gong cha franchise investment is compelling.”

For more information on available territories and how to join the Gong cha franchise family, contact Einar Gustafsson at einar.gustafsson@gong-cha.com.

About Gong cha Group

Founded in 2006, Gong cha is one of the most recognized Taiwanese tea brands in the world. Gong cha, which translates to “tribute tea for the emperor,” provides quality tea, products and services, sourcing ingredients from selected suppliers and offering customers freshly brewed tea. Gong cha’s leading product is its famous Taiwanese-style bubble tea, which is sweet milk tea infused with pearl-shaped tapioca. Gong cha also offers a variety of seasonal and specialty tea-based drinks. There are more than 1,300 Gong cha stores in 19 countries, including Taiwan, Korea, Japan, the Philippines, Vietnam, Malaysia, Singapore, Mexico, Australia, Canada, the United Kingdom and the United States. For more information, please visit www.gong-cha.com/en.

About TA Associates

TA Associates is a leading global growth private equity firm. Focused on targeted sectors within five industries – technology, healthcare, financial services, consumer and business services – TA invests in profitable, growing companies with opportunities for sustained growth, and has invested in more than 500 companies around the world. Investing as either a majority or minority investor, TA employs a long-term approach, utilizing its strategic resources to help management teams build lasting value in high quality growth companies. TA has raised $33.5 billion in capital since its founding in 1968 and is committing to new investments at the pace of over $3 billion per year. The firm’s more than 100 investment professionals are based in Boston, Menlo Park, London, Mumbai and Hong Kong. More information about TA Associates can be found at www.ta.com.

Contacts

Philip Nunes

BackBay Communications

617-391-0792

phil.nunes@backbaycommunications.com