The Coffee Station Acquires Pasqua Inc.

The Coffee Station Inc., a specialty coffee retailer with high-volume outlets in skyscrapers and other business centers, is buying the larger Pasqua Inc. of San Francisco for undisclosed terms.

The deal announced Friday adds 61 Pasqua stores to the 21 now operated by Coffee Station. A statement issued by Coffee Station says the Mercer Island company is now the nation’s largest privately owned specialty coffee retailer.

The statement also said Coffee Station recently received $33 million in cash commitments - $28.2 million from a consortium of U.S., Asian and Pacific investors - to support international expansion next year and the completion of a $4.6 million preferred stock offering.

President Joseph L. Hughes said Coffee Station would try to acquire other regional competitors and become the second-largest purveyor of espresso and flavored coffees behind No. 1 Starbucks, which is nearing 1,250 outlets worldwide.

E. David Sawyer, executive vice president, said the company’s research indicated the number of specialty retail outlets, now estimated at 4,500 nationwide, would grow to more than 16,000 in the next three and a half years.