EMERYVILLE, Calif.--(BUSINESS WIRE)--Jamba, Inc. (NASDAQ:JMBA) a leading health and wellness brand and leading retailer of freshly-squeezed juice noted continued progress in its ongoing effort to transition to an asset-light model with the announcement today of a 13-store refranchising deal. With this deal Jamba is nearing completion of the Company’s current refranchising efforts with 88% of stores now franchise owned and operated.
This latest refranchising agreement encompasses locations in Southern California, including stores in Long Beach, Manhattan Beach, Lakewood and other key SoCal markets. The stores will be owned and operated by RPM Jamba #5, Inc., run by Michael Razipour, Reza Moalej and Pouya Moalej.
Jamba announced the refranchising initiative at the end of 2014, with a stated goal of refranchising “up to 114” stores during 2015. The Company has significantly exceeded its initial goal as the new deal will bring the total stores refranchised in 2015 to 163, with plans to close an additional 1-2 deals before by the end of the year.
“We are pleased with the progress we continue to make in our refranchising efforts,” stated James D. White chairman, president and CEO of Jamba. “As we move ahead on the Company’s commitment to an asset light model, these deals position us well to reach our goal of generating $60 - $70 million of cumulative cash proceeds from refranchising in 2015.”
"We are excited to add these 13 new stores to our current Jamba portfolio," said Michael Razipour, president, RPM Jamba#5, Inc. "Our experience as an existing Jamba franchisee has been very rewarding, so we look forward to expanding our footprint and offering Jamba's great-tasting, better-for-you food and beverages to more consumers."
About Jamba Juice Company
Founded in 1990, Jamba, Inc. is a leading restaurant retailer of better-for-you, specialty beverage and food offerings, which include great tasting, whole fruit smoothies, fresh squeezed juices and juice blends, hot teas, and a variety of food items including hot oatmeal, breakfast wraps, sandwiches, Artisan Flatbreads™, baked goods, and snacks. As of June 30, 2015, there were 807 Jamba® stores system-wide in the United States, of which 601 are franchise-operated stores, and 206 are Company-owned. Jamba is a proud sponsor of "Team Up for a Healthy America" in the fight against childhood obesity and encourages fans to join the Team Up community of celebrities, athletes, and other leaders committed to getting kids active and involved at www.myhealthpledge.com. Fans of Jamba Juice can find out more about Jamba Juice's locations as well as specific offerings and promotions by visiting the Jamba Juice website at www.JambaJuice.com or by contacting Jamba's Guest Services team at 1-866-4R-FRUIT (473- 7848).
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are those involving future events and future results that are based on current expectations, estimates, forecasts, and projections as well as the current beliefs and assumptions of the Company’s management. Words such as “outlook”, “believes”, “expects”, “appears”, “may”, “will”, “should”, “anticipates”, or the negative thereof or comparable terminology, are intended to identify such forward looking statements. Any statement that is not a historical fact is a forward-looking statement. Forward-looking statements are only predictions and are subject to risks, uncertainties and assumptions that are difficult to predict. Therefore actual results may differ materially and adversely from those expressed in any forward-looking statements. You should not place undue reliance on forward-looking statements. The Company does not assume any obligation to update the information contained in this press release.