Viet Thai International JSC (VTI), the company behind the Highlands Coffee chain, has announced that it now controls the Vietnam operations of South Korean bakery brand Paris Baguette. The move underscores VTI’s strategy to broaden its food and beverage portfolio and strengthen its presence in the local market.

In a statement posted on LinkedIn, VTI said the acquisition aligns with its mission “to bring the best of the world to Vietnam, and the best of Vietnam to the world.”

Paris Baguette, owned by South Korea’s SPC Group, operates more than 4,000 bakery-cafés worldwide. Since entering Vietnam in 2012, the brand has opened around 10 stores, primarily in major cities such as Hanoi and Ho Chi Minh City.

The integration is expected to create cross-selling opportunities, including leveraging Highlands Coffee’s nationwide network of over 700 outlets for distribution.

VTI’s portfolio already includes Highlands Coffee, Pho 24, and The Coffee Bean & Tea Leaf. Highlands Coffee itself is majority-owned by Philippine food giant Jollibee Foods Corporation, which holds a 60% stake, while VTI retains the remainder.

According to a March 2025 report by iPOS, Vietnam counted 323,010 F&B outlets by the end of 2024, up 1.8% from the previous year. Industry revenue was valued at VND688.8 trillion ($27.3 billion), marking 16.6% year-on-year growth.

Yet, growth remains uneven across the sector. Only 25.5% of surveyed F&B businesses reported stable revenue compared to 2023, and just 14.7% saw increases. Rising raw material costs have put pressure on operators, with nearly half (49.2%) planning price hikes in 2025.

Despite these challenges, Vietnam’s F&B industry is forecast to grow by 9.6% in 2025, with analysts expecting new food and beverage trends to emerge and reshape the competitive landscape.