Teavana Acquires Teaopia

Teavana Holdings announced Tuesday it reached an agreement to acquire the assets of Teaopia Ltd., a mall-based specialty tea retailer in Canada, for an all-cash purchase price of $26.9 million.

Teavana expects to fund the transaction primarily with cash on hand with the remainder from borrowings under an existing U.S. credit facility. The acquisition is expected to close in the second fiscal quarter, subject to customary closing conditions. The acquisition’s impact to earnings per share is expected to be neutral in fiscal 2012, excluding transaction and integration expenses, and accretive by $0.03 – $0.04 in fiscal 2013.

Founded in 2005 and based in Canada, Teaopia Ltd. is a specialty retailer of loose-leaf teas, tea related merchandise and beverages operating in 46 company-owned stores, primarily in high-end malls across Canada and online (www.teaopia.ca).

For the 12 months ended Jan. 31, 2012, Teaopia generated net sales of about CAD $17 million and opened 12 new stores, ending the period with 46 stores.

Teavana was advised in the transaction by North Point Advisors, and Teaopia was advised by Broadstone Partners.

Partner Content

3 Critical Components to Achieving the Perfect Order - NetSuite
Explore the 3 critical components to delivering the perfect order.
Streamlining Unified Commerce Complexity - NetSuite
Explore how consolidating multiple systems through a cloud-based commerce platform provides a seamless experience for both you, and your customer.
Build the Foundation for Great Customer Experiences - NetSuite
Understand how consistent, timely, relevant and personalized experiences are enabled by having the right technology foundation in place.
Strategies for Maximizing Mobile Point-of-Sale Technology - NetSuite
Learn the top five innovative ways to utilize your mobile POS technology to drive customer engagement, increase sales and elevate your brand.