Pret abandons plans to open is Israel

04-Jun-2024 - Last updated on 04-Jun-2024 at 09:11 GMT

Pret A Manger has abandoned plans to expand into Israel after terminating its franchise agreement with multi-national retailer Fox Group and global foodservice business Yarzin Sella Group.

In a statement to the Tel Aviv Stock Exchange on 31 May, Fox Group said Pret had activated the force majeure clause, which allows a party to negate contractual obligations due to extreme and unforeseeable circumstance.

Israeli media reports that Fox Group is planning to oppose the move.

In a statement provided to World Coffee Portal, a Pret spokesperson said: “We have taken the difficult decision to end our current agreement with Fox Group and Yarzin Sella Group.

“We tried to delay this decision for as long as possible, but the significant ongoing travel restrictions have meant that our teams have not been able to conduct the checks and training needed to set up Pret in a new market.

“We want to express our sincerest thanks to the teams at Fox Group and Yarzin Sella Group, who have been supportive and extremely collaborative partners.”

Pret announced that it had reached an initial agreement with Fox Group and Yarzin Sella Group to introduce the brand in Israel back in December 2022.

The group planned to open 40 licensed sites in Israel by 2033 under the 10-year franchise deal.