New funding will enable the value-focused operator to scale from 600 to 1,000 stores in Romania and broaden its international reach – with expansion to Spain, Germany and the UK under consideration
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Left to right: Mozaik Investment’s Vlad Bușilă, 5 to go co-founder Radu Savopol, INVENIO Partners’ Tony Romani and 5 to go co-founder Lucian Bădilă | Photo credit: 5 to go
Romanian market leader 5 to go will sell a 60% majority stake to private equity firm INVENIO Partners and growth capital provider Accession Capital Partners (ACP).
The deal, which is expected to close in the first quarter of 2025, sees 5 to go founders Radu Savopol and Lucian Bădilă lower their stake in the business from 65% to 25% and existing partner Mozaik Investments decrease its shareholding from 30% to 10%. Local businessman Andrei Alecu retains a 5% stake.
In a press release, 5 to go said new investment will support its domestic and international expansion. The value-focused operator currently has 600 stores in Romania, where it has set a goal to reach 1,000 sites 'in the coming years’.
5 to go also currently operates a handful of sites in Hungary, Bulgaria and Moldova – the latter of which it sees becoming a key growth market over the next five years. The brand will use new investment to expand across Southeast Europe and open stores in Spain, France, Germany, the UK and Ireland, where it has identified large Romanian expat communities.
“This step represents a tremendous growth opportunity for 5 to go; we are ready to enter and explore new markets, continuing the success and growth story we established in 2015. The collaboration with INVENIO and ACP is more than a financial partnership. We share a common vision of growth and sustainability, which gives us confidence that we will reach new targets together,” said Savopol, who will continue to lead 5 to go alongside Bădilă.
Founded in 2015, 5 to go began operations with a value-focused menu pricing most beverages at 5 leu ($1.09). While a single espresso still costs 5 leu, the chain has since raised the price of other beverages, with cappuccinos, lattes and flat whites now costing 6 leu ($1.31), 7 leu ($1.53) and 10 leu ($2.19) respectively.
5 to go expects its full-year 2024 revenues to exceed €50m ($54.9m) and is forecasting 2025 turnover to reach €72m ($75.4m).