The Second Cup Coffee Company Inc. - SISP

The Second Cup Coffee Company Inc. (“Second Cup”), a coffee shop franchisor which owns or controls the “Second Cup Café” brand and rights globally, obtained CCAA protection on May 22, 2025, on Application by its majority creditor Arbat Capital Group Ltd. Second Cup franchises these rights to franchisees in approximately 20 countries worldwide, including in Pakistan, Egypt, Azerbaijan, Cyprus, and across sub-Saharan Africa. These franchisees operate approximately 170 cafes worldwide, none of which are located in Canada. Second Cup is not affiliated with and is independent from Second Cup Coffee Co., the Canadian coffee chain and retailer. The majority shareholders and directors of Second Cup, who are also the majority creditors, became concerned that without a restructuring, Second Cup would be unable to repay the majority creditors’ loans, which became due, along with additional outstanding source deductions and payroll obligations.

Creditors are owed approximately $8.9 million CAD. For these and other reasons, Second Cup became subject to a CCAA initial order wherein Grant Thornton Limited was appointed as Monitor. On May 29, 2025, the Initial Order was amended and restated by the Court. Furthermore, on August 21, 2025, the Court granted an order (the “SISP Order”), authorizing Second Cup to undertake a sale and investment solicitation process (“SISP”) for the sale of Second Cup’s business, property, assets and undertakings (collectively, the “Business”). Miller Thomson is counsel for Arbat and Cassels is counsel for the Monitor.

Grant Thornton Limited, in its capacity as Monitor is hereby soliciting offers for Second Cup’s Business. Information regarding the SISP can be obtained by visiting the Monitor’s website: www.DoaneGrantThornton.ca/SecondCup or by contacting Jesse Cooper of the Monitor’s office at (416) 360-2364 or [email protected].

Please note that all offers are due no later than at 5:00 PM Eastern Standard Time on September 30, 2025.