Krispy Kreme has signed a five-year development and franchise agreement with APL Sweets OÜ, a subsidiary of Estonia-based Apollo Group, to develop up to 25 locations across the Baltic States between 2026 and 2030.
The agreement marks another step in Krispy Kreme’s expansion across Northern Europe, with the first location planned for Tallinn, Estonia, by the end of 2026.
Three Shop Formats Planned
Under the agreement, APL Sweets OÜ will develop Krispy Kreme locations in three formats. The planned rollout is expected to begin in Estonia before expanding across the Baltic region.
The first Tallinn location is intended to introduce Krispy Kreme’s doughnuts to the local market and establish a foundation for subsequent development.
The five-year agreement provides a framework for the partners to plan and implement additional locations through 2030.
Finland Option Included in the Agreement
The agreement also grants APL Sweets OÜ an option, exercisable through December 31, 2027, to enter into a separate development and franchise agreement for Finland.
This option creates a potential pathway for further expansion into Northern Europe. Any Finnish development would depend on the execution of a separate agreement.
Apollo Group Brings Regional Foodservice Experience
Apollo Group has an established foodservice portfolio across the Baltic States and Finland. Its brands include Lido, Vapiano, KFC, MySushi, Blender, Delano, and CAN CAN Pizza.
The partnership combines Apollo Group’s regional operating experience with Krispy Kreme’s established doughnut brand and franchise model.
Local market knowledge and experience managing foodservice operations can be relevant factors in planning store development, staffing, supply, and customer service across multiple locations.
Supporting International Growth Through Franchising
Krispy Kreme’s agreement with APL Sweets OÜ reflects its continued use of franchise partnerships as part of its international growth strategy.
The company’s capital-light franchise approach involves working with partners to develop markets and operate locations under agreed arrangements. The structure, pace, and scale of each rollout depend on the specific agreement and market conditions.
The planned Baltic development adds another initiative to Krispy Kreme’s European expansion activity.
What the Agreement Means for Franchise Development
The Baltic States agreement highlights several elements of multi-market franchise planning:
- Regional development: A multi-year plan covering several countries within a geographic region.
- Multiple shop formats: Development using different formats to serve market needs.
- Experienced local operators: A partner with an existing foodservice presence in the region.
- Phased rollout: A planned sequence of openings over several years.
- Potential market extensions: A contractual option to negotiate a separate agreement for Finland.
These elements illustrate how international franchise development can be structured around local partnerships and longer-term market planning.
Exploring Franchise Opportunities
Businesses interested in franchise development should prepare information about their operating experience, financial capacity, proposed market, and development objectives.
Territory availability and franchise opportunities vary by market and are subject to review and formal agreements.
Interested in exploring a Krispy Kreme franchise opportunity?
Visit our Franchise Application page to submit your information and proposed development plans.
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