Cafe Aroma to launch European chain

The first Marrone Rosso café will open in Constanta, Romania.

Sources inform ''Globes'' that Aroma Espresso Bar Ltd. is launching a chain of cafes in Europe, to be called Marrone Rosso. The first cafe will be inaugurated soon in the Romanian Black Sea resort of Constanta, at an investment of $2 million. The cafe will be operated by a local franchisee who will own half of it.

Aroma plans to expand Marrone Rosso to four more countries within 18 months. All the cafes will be operated through franchisees.

Aroma decided not to use its own brand name for the European chain because it is a common name for cafes across the continent. A UK chain with the same name went bankrupt, resulting in negative connotations there.

Aroma was founded in 1994 and has 79 cafes across Israel. The chain currently operates two cafes overseas, one in New York and the other in Toronto. The cafes are successful and Aroma is seeking a location for a second café in New York.

Aroma is also expanding its production, inaugurating a new jam making plant in Emek Ha’Ela. The plant cost NIS 4 million. The company has other plants for the production of coffee, sauces, and frozen dough.

Published by Globes [online], Israel business news - - on October 31, 2007

© Copyright of Globes Publisher Itonut (1983) Ltd. 2007

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