Australian café chain The Coffee Club is set to make its debut in Kenya in early 2025 after securing a franchise agreement with Nairobi-based fuel retailer, Luqman Petroleum.
The two companies will invest KES 646 million ($5 million) to tap into Kenya’s expanding café culture, with the initial focus on the capital, Nairobi. The first store will open at Luqman Petroleum’s petrol station in Lavington, a high-end suburb of Nairobi.
In a statement, Luqman Petroleum highlighted the rapid urbanization and the rise of a growing middle class with increasing disposable income, which it believes will create significant opportunities for international food and beverage brands in East Africa.
Luqman Petroleum also plans to expand The Coffee Club brand into neighboring Tanzania and Uganda as part of the Australian chain’s broader strategy for growth across Africa.
“We are excited to announce our partnership with Luqman Petroleum as we bring The Coffee Club to East Africa. This partnership represents a key milestone in our expansion, and we are confident that Luqman will be the ideal partner to lead our growth in Kenya, Tanzania, and Uganda,” said Charl Badenhorst, CEO of The Coffee Club.
Founded in 1989 in Brisbane, The Coffee Club is now owned by Australian retail food franchisor Minor DKL, a subsidiary of Bangkok-based hospitality group Minor International, since 2007. The café chain operates 229 stores in Australia and an additional 170 in 13 international markets, including China, Indonesia, the Maldives, Qatar, and the UAE.
Luqman Petroleum, established in 2008, operates 14 petrol stations in Kenya and manages fuel distribution networks in Tanzania, Uganda, Rwanda, South Sudan, and the Democratic Republic of the Congo (DRC).