Food Empire -- you may think it is a restaurant chain or something like that. Actually it is into 2-in-1 coffee. Like Super CoffeeMix. Is the stock cheap? Now 43 cents, near the 52-week high of 44 cents.
Last edit: 12 years 2 months ago by niadmin. Reason: Correcting the title
Food Empire is not too visible because of its branding philosophy and geographical coverage.
Food Empire market focus is in Russia and Eastern Europe under the brand of MacCoffee, Klassno, etc.
Supergroup geographical coverage is in this region - ASEAN, China and Vietnam and its Super brand is know to many in this region.
The financial data of Food Empire/SuperGroup as follow:
No. of Shares 529M/558M;
Share price 0.43/2.23;
EPS (cts S'pore) 2.01/6.31,
PE 10.8x/17.7x;
NAV (cts) 34/67;
Borrowings S$18.3M/NIL,
Dividend (cts S'pore) 1.05/5.8.
Major shareholders of Food Empire are Tan Wang Ghew & wife 23%, Anthoni Salie 25% and FMR LLC 10%.
Major shareholders of SuperGroup are Tee Yih Jia 11.5%, Teo Kee Bok 11.7%, Te Lay Hoon 12.1%, Te Kok Chia 7.8%, Yeo Hiap Seng 11.7% and Capital Group 6.4%.
Food Empire share price may fly only if they decide to expand and compete successfully in this region. As for Super Group, interested party may take it private given its wide distribution network in this region. What do you think?
Super has run already....Food Empire will catch up sooner or later. Trades at nearly 50% discount to Super's PE (but Super is a much bigger company and has higher profitability).
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