MISSISSAUGA, ON, Canada – The Second Cup Ltd. announced on Friday that it intends to implement a new operating structure in support of its new strategy. Subject to TSX and shareholder approval, the existing public company will change its name to Aegis Brands Inc. (“Aegis” or “Aegis Brands”), which will own and operate the existing Second Cup Coffee Co. specialty coffee business as part of a portfolio of brands. Steven Pelton, President and CEO of Second Cup, will assume the role of CEO of Aegis Brands.
“We created Aegis with the vision of building a portfolio of amazing brands that can grow and flourish with access to our resources and expertise. We are committed to letting each company under the Aegis Brands umbrella operate as an independent brand, and to working with them to provide shared expertise – and shared services – to help them thrive,” said Pelton.
The Company intends to contribute the existing Second Cup Coffee Co. business to a wholly-owned subsidiary in the new year. Although Second Cup is the only brand under the Aegis umbrella as of today, Pelton confirmed that the Company is actively seeking acquisitions with a focus on the sectors the Company knows best: foodservice, coffee and cannabis.
The word Aegis means “to sponsor”, “to support” or “to protect”, a reflection of the benefits that the parent company structure will offer to the brands that operate under it.
In addition to assuming the leadership of Aegis Brands, Pelton will also maintain his role as President of Second Cup. Second Cup Chief Financial Officer Ba Linh Le will become the Chief Financial Officer for the parent company.
The Company will seek shareholder approval to change its name to Aegis Brands at the Company’s next Annual General Meeting in May 2020. The name change will require approval by two-thirds of votes cast at the meeting, as well as TSX approval.
The name change is not expected to have any impact on the existing Second Cup shares, other than to the name of the issuer (and likely a change of stock symbol).
In the meantime, the Company’s press releases and other public disclosure will continue to refer to The Second Cup Ltd. as the issuer and the Company’s shares will continue to trade under the current “SCU” stock symbol.
