JOLLIBEE Foods Corp. (JFC) announced that its subsidiary Milkshop International Co., Ltd. will acquire a 70% stake in Taiwan’s Moon Moon Food, a wellness soup brand, for NT$103.8 million (P184 million).
Milkshop, the company behind the Taiwanese bubble tea brand Milksha, signed a share sale and purchase agreement with Tien Hsia Sheng Co., Ltd. to acquire 70% ownership of Moon Moon Food, JFC said in a regulatory filing on Monday.
Under the agreement, Milksha will buy 980,000 shares at NT$105.92 (P187.80) per share. The value was determined through a multiples-based valuation anchored on Moon Moon Food’s net profit after tax in 2023.
Moon Moon Food Founder and Chief Executive Officer Yung-Cheng Lai will retain a 30% minority interest in the brand after the acquisition, JFC said.
“This strategic move reinforces Milksha’s position as a leader in the tea segment in Taiwan by accretively integrating Moon Moon Food’s resources and complementary offerings to enhance its ability to meet evolving customer needs, further strengthening scale, valuation, and expanding the consumer base of Milksha,” JFC said.
“Once the transaction is completed, Moon Moon Food shall be consolidated into Milksha’s portfolio and financial reports. Correspondingly, JFC will take on 51% of any acquisition impact to Milksha,” it added.
Moon Moon Food currently has 13 outlets in Taiwan and opened its first international branch in Singapore last year.
The brand’s menu includes soups, rice dishes, and noodles. It has been recognized by the Michelin Bib Gourmand from 2018 to the present.
“Moon Moon Food is renowned as the leading brand in Chinese wellness soups,” JFC said.
The recent transaction on Moon Moon Food comes as JFC previously bolstered its brand portfolio.
In July last year, JFC announced the purchase of South Korea’s Compose Coffee for $340 million to bolster its coffee and tea business.
Last week, JFC said it had completed the S$20.2-million buyout to take full ownership of Hong Kong-based dim sum restaurant Tim Ho Wan.
JFC grew its nine-month attributable net income by 24.1% to P8.47 billion as revenue climbed by 10.6% to P196.25 billion.
As of end-September, JFC increased its store network by 42.8% to 9,598, with 3,340 domestic stores and 6,258 international branches.
Of the international stores, JFC has 568 in China, 381 in North America, 362 in Europe, the Middle East, Africa, and Asia, 815 with Highlands Coffee, 1,219 with The Coffee Bean & Tea Leaf, 333 with Milksha, and 2,580 with Compose Coffee.
JFC shares fell by 2.1% or P5.60 to P261 apiece on Monday. — Revin Mikhael D. Ochave
