MANILA, Philippines – A subsidiary of Jollibee Foods Corporation plans to go public in Vietnam by July 2019, after the country's largest fast food chain secured an agreement with its long-time partner Viet Thai International Joint Stock Company (VTI).
Jollibee told the Philippine Stock Exchange (PSE) on Monday, November 21, that it has entered into an agreement with its Vietnamese partner to list their joint venture company, Superfoods Group, on Vietnam's stock exchange.
"We are very excited about our planned initial public offering (IPO) of Superfoods. Our fastest-growing business in terms of country is Vietnam and this reflects the vibrancy and potential of the economy and the strong performance of our joint venture business," Jollibee chairman and founder Tony Tan Caktiong said.
Superfoods Group owns Highlands Coffee, which has 159 outlets, Pho24 (with 33 stores), and Hard Rock Cafe (3 outlets).
Superfoods has annual sales of $55 million, making it one of the fastest-growing joint venture businesses of Jollibee.
Highlands Coffee, Pho24 expansion
The joint venture company grew by 36% for the first 9 months of 2016, with Highlands Coffee growing by approximately 78% over the same period last year.
Thai Phi Diep, chief executive officer of Superfoods and founder of Highlands Coffee, said the IPO will enable the company to expand Highlands Coffee and Pho24 in other parts of the world.
"Our planned IPO will raise capital to enable us to expand these two brands in Vietnam, in other parts of the country, and in other key cities in the world. Our joint effort with the people of Jollibee Foods Corporation will make this possible," the Vietnamese official said.
Post-IPO, Jollibee will own 60% equity in Superfoods.
The final terms of the IPO, such as the number of shares to be sold and price per share, will be determined based on the capitalization required to significantly grow the business, Jollibee said.
The fast-food giant said it will provide a $30 million loan to VTI.