KUALA LUMPUR: Zuspresso (M) Sdn Bhd, the parent company of ZUS Coffee, said any potential listing or corporate exercise remains secondary as it focuses on scaling its business and expanding its outlet network.
Group chief operating officer Venon Tan said that despite market speculation about an initial public offering (IPO), the group remains firmly focused on execution, including outlet expansion, cost management, and maintaining operational resilience amid ongoing geopolitical uncertainties.
“For us, the priority is to ensure the business runs smoothly. At both the personal and group levels, it has always been business first, with any IPO or corporate exercise taking a secondary role. Our focus remains on growing the business, opening stores as planned and avoiding operational disruptions amid ongoing uncertainties,” he told SunBiz on the sidelines of Bangun KL, a joint campaign by ZUS Coffee and the Federal Territories on Thursday.
ZUS Coffee is pursuing an aggressive expansion strategy, targeting the opening of 200 new outlets this year, which would increase its Malaysian footprint from 850 stores at end-2025 to about 1,050 by year-end.
This growth is supported by funds raised in late 2024 from a consortium comprising KV Asia, a Singapore-based private equity firm, KWAP and Kapal Api Group, as well as bank financing.
“There are also new franchise markets expected to come onstream over the next few months,” Tan said.
However, the expansion comes against a backdrop of rising global cost pressures.
Tan noted that geopolitical tensions, including developments in Iran, have begun to affect raw material costs, particularly for consumer-facing businesses.
“There is a noticeable impact from rising raw material prices and costs. We are focused on continuous cost optimisation to ensure we can continue passing savings on to consumers,” he said.
Operational adjustments are already underway, including efforts to improve logistics efficiency, such as reducing delivery frequency to stores, to protect margins without compromising customer experience.
At the same time, the group is seeing improvements in store-level performance as it scales, although specific payback periods were not disclosed.
“As we scale, we leverage our size, brand equity and strong Malaysian identity. We are made in Malaysia, for Malaysians, and remain focused on continuous improvement. This is not unique to ZUS — it is a common approach across most companies,” Tan said.
He added that the company is placing greater emphasis on governance and sustainability practices as it grows — areas typically associated with more mature organisations.
“While I wouldn’t directly compare us to a listed company, ZUS has demonstrated strong responsibility across various areas. We have been proactive in advancing ESG initiatives and have established sound governance practices,” he said.
Separately, ZUS Coffee has launched Bangun, KL: Ke Arah KL Yang Lebih Sejahtera, a year-long initiative in collaboration with the Federal Territories Department aimed at enhancing the daily commuting experience across Kuala Lumpur.
Running until Dec 31, the programme features the Masak KL Jual promotion, offering selected coffees as low as RM5 to early commuters at more than 250 outlets in Kuala Lumpur and Putrajaya.
The initiative was launched at ZUS Coffee Kasturi Walk by Minister in the Prime Minister’s Department (Federal Territories) Hannah Yeoh, in the presence of Federal Territories Sports Council chairman Datuk Stuart Ramalingam.
Commenting on the collaboration, Yeoh said the programme is designed to foster a more vibrant and people-centric urban environment.
“We support initiatives such as ZUS Coffee’s Masak KL Jual promotion, where coffee is offered from as low as RM5 as part of broader commuter-focused efforts,” she said.
For ZUS Coffee, Tan said the initiative reflects its commitment to the community.
“ZUS Coffee has become part of the daily rhythm of the city, and we aim to be more than just a coffee stop. City life moves fast, and we want to provide a space where the community can pause before the day begins.”
The Sun Malaysia
