DavidsTea facts for kids
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The storefront of a former DavidsTea location in the Tsawwassen Mills shopping mall
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| Public | |
| Traded as | TSX-V: DTEA |
| Founded | Montreal, Quebec, Canada (2008) |
| Founders | David Segal Herschel Segal |
| Headquarters | Mount Royal, Quebec, Canada |
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Number of locations
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20 |
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Area served
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Canada, US (formerly) |
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Key people
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| Products | Loose-leaf tea, tea bags, teaware |
| Revenue | 41.2 million (2019) |
DavidsTea (also known as DAVIDsTEA) is a Canadian company that sells special tea and things you use to make tea. It started in Montreal, Quebec. It used to be the biggest Canadian company selling specialty tea.
The company once had 240 stores. But by July 2020, it had to make big changes. It closed all 42 stores in the United States. It also closed 166 stores in Canada. Now, DavidsTea mostly sells its products online and to other businesses.
Contents
How DavidsTea Started
In 2008, David Segal and his cousin Herschel Segal started DavidsTea. Their main office was in Montreal. But their very first store opened in Toronto that same year. In 2009, they opened their first store in Montreal.
Growing Across North America
By 2010, DavidsTea had stores all over Canada. In 2011, they opened their 50th store in Waterloo, Ontario. That November, they opened their first store outside Canada, in New York City.
The company grew quickly as more people became interested in special teas. By 2012, DavidsTea had more than 75 stores. These stores were located across North America. They offered over 150 different kinds of tea.
A Famous Fan
In 2013, a famous talk show host named Oprah Winfrey helped DavidsTea. She talked about the brand on her live shows. Later, she also featured it in her magazine, O, The Oprah Magazine. This helped many more people learn about DavidsTea.
Becoming a Public Company
On June 5, 2015, DavidsTea became a "public company." This means its shares could be bought and sold by anyone. They started trading on the NASDAQ stock exchange in the United States. Their stock symbol was DTEA.
Changes in Leadership
In March 2016, David Segal, one of the company's founders, left DavidsTea.
New Leaders Join
On May 24, 2016, Christine Bullen became the managing director for the U.S. stores. On December 8, 2016, she was named the temporary president and CEO. This change happened on February 1, 2017.
On March 13, 2017, Joel Silver was chosen as the new president and chief executive officer. However, on June 14, 2018, Joel Silver left his role. This happened after the company's owners voted for new people to be on the board of directors. Herschel Segal, another founder, was one of the new directors.
New Ways to Sell Tea
In August 2018, DavidsTea announced a new plan. They would sell tea bags of their most popular teas. These would be available in Loblaw stores across Canada. This allowed more people to buy their teas easily.
Facing Challenges
In June 2020, DavidsTea announced a big problem. They had not paid rent for their stores for three months. All their stores had been closed since March 17 due to the COVID-19 pandemic. The company said it might need to reorganize its business.
Reorganizing the Business
On July 8, 2020, DavidsTea filed for protection from its creditors in Canada. This allowed them to keep operating while they reorganized. They planned to close many stores. By that date, they also got court protection in the U.S.
The next day, it was announced that 82 stores in Canada would close. All 42 stores in the United States would also close. The company hoped to get better rental agreements for the remaining 100 stores. More stores might close depending on these talks.
By September 2020, DavidsTea had only 18 retail stores left. Out of 240 stores at the start of 2020, they permanently closed all 42 U.S. stores and 166 Canadian stores. DavidsTea then decided to focus on selling tea online and to other businesses.
Changes in Stock Trading
In April 2023, DavidsTea stopped trading its shares on the Nasdaq Global Market. Instead, its shares began trading on the TSX Venture Exchange in Canada.
