New York (CNN Business)Sugar might be falling out of favor, but it's the centerpiece of a makeover of Krispy Kreme that includes a new menu and its first store redesign in a decade. The doughnut company, founded 82 years ago, debuted a new location Tuesday in North Carolina that showcases Krispy Kreme's new, extra-sweet menu. It features concoctions like doughnut-infused ice cream, milkshakes and a customizable toppings bar for the glazed doughnuts. The makeover follows rival Dunkin's debut of a modernized store and new menu items, like breakfast bowls, in a bid to attract more people. The expansion has worked and sales jumped 2.4% for the first quarter of this year. The new Krispy Kreme store, which is a half hour east of Charlotte, is framed with a "stylistic wink" to its logo on the exterior. The interior has digital menu boards and an "enhanced doughnut theater experience" that shows how the doughnuts are made and glazed on a conveyer belt. The menu is revamped. One of the new items is "scoop sandwiches," a layer of ice cream with doughnuts in it, served between a sliced doughnut that can be topped with a variety of items, like vanilla, or chocolate. New milkshakes made from the doughnut ice cream can be topped, of course, with doughnuts, as well as toppings like Oreo bits. The doughnuts themselves are getting an upgrade; customers will have the option to add five different glazes and ten toppings. he company said the design is coming at a time of growth for the once-struggling chain. It plans to open 450 shops globally by the end of 2022. Of those, 45 new shops will be in the United States within the next year. Krispy Kreme will also remodel its 350 stores in the United States. But each store might not be as elaborate as its North Carolina store because menu items and store features will vary depending on location and store size. Krispy Kreme is building a new location in New York's Times Square. It will be open 24 hours a day and include a glaze waterfall. It's scheduled to open early next year. The doughnut chain went private in 2016 when JAB Holdings bought it for $1.35 billion. The parent company, which is based in Luxembourg, was recently embroiled in controversy after it was discovered that the family that owns it said their Nazi ancestors used slave labor during World War II. The Reimann family, which owns the controlling stake in JAB Holdings, said it donated €10 million, or $11 million, to a yet-undisclosed charity after a three-year investigation that it commissioned discovered details of their ancestors' behavior. JAB Holdings also owns Panera Bread, Pret A Manger and Einstein's Bagels.

Krispy Kreme Doughnuts has agreed to a $1.35 billion takeover by a subsidiary of JAB, a private holding company owned and operated by four billionaire siblings who have cobbled together the world’s largest coffee conglomerate. Krispy Kreme adds to a list of JAB purchases that includes the Peet’s, Caribou Coffee, Intelligentsia, and Stumptown coffee businesses, along with Keurig Green Mountain (JAB led the investor group that acquired the capsule coffee maker in March for $13.9 billion). The holding company is run by members of Austria’s billionaire Reimann family, who built their wealth running a German chemicals concern. Krispy Kreme had long been a staple in the southern US, and was expanding beyond it at breakneck speed a decade ago. But the aggressive expansion took a toll on quality control, and on the brand’s cult status. In recent years, the North Carolina-based chain, which has more than 1,100 locations, tried pushing its way into Starbucks territory, in an attempt to align its low-key donut concept with higher-brow coffee culture. In late 2015, several Krispy Kreme locations even began referring to their staff as “baristas,” who would take customer names as they ordered. But growth remained stubbornly slow, and an international push didn’t do much to help turn the tide. “JAB’s experience and industry knowledge make them the ideal partner to help grow the iconic Krispy Kreme brand throughout the world,” Krispy Kreme CEO Tony Thompson said in a statement. JAB will pay $21 in cash for each share of Krispy Kreme, a 25% premium to their May 6 closing price. Krispy Kreme shares jumped to $20.96 in midmorning trading in New York. This isn’t the first change in ownership for the doughnut company, which was founded in Winston-Salem, North Carolina, in July 1937, and went on to flourish in the southeast US through the 1950s and 1960s. It was acquired by Chicago-based Beatrice Foods in 1976, then bought back by a group of franchisees in 1982.