British Company Urges Investors To 'Bond' With Chocolate
Here's a new twist for investors... An upmarket British chocolate grower and maker of fine chocolates, Hotel Chocolat, wants to expand its store chain from 42 to 72 shops, develop a new cocoa plantation in St. Lucia, and expand overseas development. So, guess what sweet deal they've cooked up for investors?
To raise £5 million, Hotel Chocolate is selling chocolate bonds! One is a 2-year, 6.7% bond for £2,000 and the other a 3-year, 7.29% bond for £4,000. These yields are pretty good; but even better for chocoholics. You see the interest is payable in chocolate.
"We would rather pay interest to our customers than to a bank," said Angus Thirlwell, co-founder of Hotel Chocolat told the TimesOnline. "Many who have money sitting in the bank getting a low interest rate may prefer to paid in chocolate."
The 2-year chocolate bond pays a box of tasting chocolate worth about £18 every two months; the 4-year bond provides a monthly box of the same chocolate. Before setting up the chocolate bonds, Hotel Chocolate surveyed its Tasting Box subscription members. Knowing the quality of Hotel Chocolate's confections, they were delighted to endorse the plan.
(Yes, there are two Hotel Chocolate stores currently in the U.S.)
TimesOnline, JustFood, Hotel Chocolate