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Wednesday, January 9, 2013

Other bidders contest sale of Tully’s Coffee chain to actor Patrick Dempsey’s company

By Associated Press via Washington Post

 

January 9, 2013

 

SEATTLE — A company that teamed up with Starbucks Corp. to bid for the Tully’s Coffee chain filed an objection Wednesday challenging the winning offer made by “Grey’s Anatomy” star Patrick Dempsey.

 

AgriNurture Inc. said it’s still willing to proceed with its combined bid with Starbucks of about $10.6 million. The bid from Dempsey’s company, Global Baristas LLC, was for $9.2 million.

 

The proposed sale goes before a bankruptcy judge in Seattle on Friday.

 

Starbucks has said it wants to convert some of Tully’s cafes to its own brand. AgriNurture, based in the Philippines, would run the rest under the Tully’s name.

 

Cliff Burrows, who heads Starbucks’ Americas business, said he’s confident the company put forth the best bid with its companion bidder to give shareholders the most value.

 

Dempsey said he’s confident the court will decide that Global Baristas submitted “the highest and best bid.”

 

AgriNurture, which also does business in the U.S. as Earthright Holdings Inc., already operates Tully’s franchises in Asia.

 

Another bidder has also filed an objection to the sale, saying the rules changed in the middle of the auction.

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Related

Bidders contest sale of coffee shop chain to 'Grey's Anatomy' star Patrick Dempsey


January 09, 2013

SEATTLE –  A company that teamed up with Starbucks Corp. to bid for the Tully's Coffee chain is challenging the winning offer made by "Grey's Anatomy" star Patrick Dempsey.

AgriNurture Inc. says it's still willing to proceed with its combined bid with Starbucks of about $10.6 million. The bid from Dempsey's company, Global Baristas LLC, was for $9.2 million.

The proposed sale goes before a bankruptcy judge in Seattle on Friday.

Starbucks has said it wants to convert some of Tully's cafes to its own brand, with AgriNurture running the rest under the Tully's name.

AgriNurture, based in the Philippines, also does business in the U.S. as Earthright Holdings Inc.

Another bidder has also filed an objection to the sale, saying the rules changed in the middle of the auction.
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Patrick Dempsey Outbids Starbucks for Tully’s Coffee


January 9, 2013

"Grey's Anatomy" star Patrick Dempsey won a private bankruptcy auction to buy Tully's Coffee, a struggling small coffee chain based in Seattle.

Dempsey's company beat out six other bidders, including Starbucks, and will pay $9.15 million for Tully's Coffee.

Ahead of his winning in auction, Dempsey updated his fans via Twitter. "We met the green monster, looked her in the eye, and...SHE BLINKED!" Dempsey declared his victory. "We got it! Thank you Seattle!"

However, Starbucks said that a final determination certifying the winning bid for Tully’s will not be made until a court hearing set for Jan 11. Starbucks made an offer only for 13 of Tully's company-owned stores in the area of Puget Sound and 12 locations within Boeing Co. offices, while another bidder made an offer for all assets.

Currently, Tully's Coffee operates 47 locations in Washington and California and has other franchises across the country. Tully's filed for Chapter 11 bankruptcy protection on Oct. 10 and closed 19 locations.

Now Dempsey plans to spend more time in Seattle, being involved in the running of the company, although he lives in Los Angeles.

“I'm thrilled that we won and I'm even more excited about saving Tully's Coffee and its hundreds of jobs. Tully's is a great company with committed employees, and with its base in Seattle, one of the world's greatest cities,” Demsey said in the statement on his winning bid. "I'm confident we will be able to successfully build the brand and help grow the economy. Seattle has been very good to me over my career, and I am honored to have the privilege to own Tully's and work closely with the company's employees.”