News: Morgan Kingston Advises on Briggo Sale to Coca-Cola Company
November 16, 2020
Investment banking firm Morgan Kingston Advisors recently advised Briggo Inc, a maker of robot coffee kiosks, on their sale to the Coca-Cola Company. Coca-Cola’s subsidiary, Costa Coffee, purchased Briggo in the spring, and announced the acquisition in late October. Costa Coffee is a British company with nearly 4,000 retail locations throughout the world. Briggo will be rebranded as Costa Coffee BaristaBot.
Briggo’s robot baristas have been stationed at notable locales such as Austin-Bergstrom International Airport and the Austin Convention Center, as well as large technology offices.
Coca-Cola Chairman and CEO James Quincey said in an Oct. 22 earnings call that they intend to become a “global multi-platform coffee company under the Costa brand.”
“When we were brought in, they (Briggo) were considering our retail and restaurant perspective,” said Susan Miller, partner with Morgan Kingston Advisors. Both the venture capital that was invested in the company and the Briggo management team were trying to understand Briggo’s identity. “We spent a lot of time working with them on that—what were their strengths and their opportunities. We found their strength was actually in their technology, and less so with the brand itself.”
She and Morgan Kingston partner Sean Mirzabegian approached many strategic investors as well as private equity firms inside and outside of the beverage world.
“They (Briggo) didn’t know how to tackle the restaurant and retail component of this,” said Mirzabegian. “They had their own coffee brand, plus the retail.” Morgan Kingston advised the company to focus on selling the technology to a larger company that has broad brand recognition.
Briggo kiosks are “24/7 unattended retail,” Miller explained. The touchless technology lends itself to airports, hospitals, campuses and other facilities where customers can access it at all hours. All condiments are added by the machine, so there is no condiment bar, as well. Briggo kiosks serve 100 coffees an hour, and the machines are self cleaning. The only labor would include restocking the machines.
With the Briggo app, customers can find a nearby Costa Coffee BaristaBot anywhere. “If you are in the TSA line at the airport and you want to put you order in,” a customer could have their beverage ready when they walk up. The app also offers “geofencing,” so when the customer is near a Costa Coffee BaristaBot, they will get an alert inviting them to come by for a hot chocolate or a latte.
For more information, contact Susan Miller at 646-522-3983, or smiller@morgankingston.com. Contact Sean Mirzabegian at 312-927-2808, or at smirzabegian@morgankingston.com.