Thailand’s Central Plaza Hotel ( Centel ) has dissolved its joint venture ( JV ) operating the Café Amazon coffee chain in Vietnam, ending a five-year presence in the market after what it describes as “sustained competitive pressures”.

In a filing to the Stock Exchange of Thailand, Centel notes that its board of directors, at a meeting late this September, had approved for its indirect subsidiary Central Restaurants Group Vietnam ( CRG VN ) to proceed with dissolving ORC Coffee Passion Group Joint Stock Company ( ORCG ), the JV that managed Café Amazon’s operations in Vietnam.

CRG VN holds 40 % equity, while PTTOR International Holdings Singapore, a subsidiary of PTT Oil and Retail Business ( PTT OR ), holds the remaining 60%.

“The dissolution is due to the highly competitive market conditions in the Socialist Republic of Vietnam,” Centel explains, “which necessitated an adjustment of the Company’s strategy and business objectives.” As of August 31 2025, the company’s carrying investment value in ORCG stood at 56 million baht ( US$1.5 million ).

The transaction, Centel clarifies, is not a related-party transaction and does not meet the threshold requiring disclosure as an acquisition or disposal of assets under Thai stock exchange rules. Following the decision, ORCG ceased to be a JV of Centel.

Café Amazon entered Vietnam in 2020 through the Centel-PTT OR partnership as part of the latter’s regional expansion into lifestyle retail, alongside its fuel business. The brand, one of Thailand’s largest coffee chains with more than 4,000 stores worldwide, sought to capture Southeast Asia’s fast-growing coffee market, but soon faced formidable local rivals.

Vietnam’s café sector remains dominated by strong domestic players, such as Highlands Coffee, Phuc Long and Trung Nguyen, while international entrants like Starbucks have also expanded.

Beyond brand competition, foreign newcomers face a deeply rooted local coffee culture built around cà phê sữa đá – Vietnam’s signature iced coffee made with robusta beans and sweetened condensed milk. Widely regarded as a national delicacy, cà phê sữa đá is not just a drink but a symbol of social life and daily routine, shaping strong consumer loyalty to local cafés.

Centel, which operates the Centara Hotels & Resorts brand and multiple restaurant chains across Asia, describes the move as a strategic adjustment rather than a financial setback. The investment represents a small portion of Centel’s total assets and will have a minor financial impact.

 “As a result, ORCG has ceased to be a JV of Centel,” the company confirms in the filing signed by Gun Srisompong, chief financial officer and vice-president for finance and administration.

Both Centel and PTT OR have not yet detailed any future redeployment of resources or plans for the Café Amazon brand in Vietnam.