School Food divisions up for sale again Food chain operator failed to complete sale last year
Translated by Ryu Ho-joung 공개 2020-06-23 08:00:54
이 기사는 2020년 06월 23일 08:00 thebell 에 표출된 기사입니다.
South Korea’s SF Innovation is preparing to restart a sale process of its street food brands School Food and School Food Delivery after a failed attempt to sell them last year, sources said on June 19.The company signed a memorandum of understanding last year with private equity firm Bayside Private Equity (Bayside PE) to sell School Food and School Food Delivery. It also operates Panda Express restaurants in Korea, bar chain Kimjakga, and Vietnamese restaurant brand Bun Cha Ra Boom, which were excluded from the planned sale.
But the deal eventually fell through because Bayside PE failed to raise enough funds to complete the transaction. The firm struggled to find investors even though any initial losses would have been absorbed by the equity tranche that SF Innovation chief executive, Lee Sang-yoon, then had agreed to take.
Bayside PE had reportedly offered about 30 billion won ($24.7 million) for the two divisions. Their value is estimated to remain almost the same as SF Innovation’s earnings and borrowing have not notably changed over the past year.
The company recorded revenue of 36 billion won in 2019, down about 7 percent from the previous year. Its gross borrowing and net borrowing were at 6.3 billion won and 3 billion won, respectively, at the end of 2019. It generated about 2.2 billion won in earnings before interest, taxes, depreciation and amortization for the four years through 2019.
“The delivery business is a main driver of SF Innovation’s growth. Investors’ outlook on that front is expected to play a key role in the sale,” said an industry insider. “The restaurant industry has been hit hard by the impact of Covid-19, so any potential buyers will likely take a cautious approach with their offers”
Founded in 2007, SF Innovation is a family-owned business. According to the company’s 2019 audited annual report, Lee is the largest shareholder with a 26.7 percent stake, with the remaining stake held by his family and relatives.
(Reporting by Byung-yoon Kim)
< 저작권자 ⓒ 자본시장 미디어 'thebell', 무단 전재, 재배포 및 AI학습 이용 금지 >
관련기사
best clicks
최신뉴스 in 전체기사
-
- [2024 더벨 글로벌 투자 로드쇼-베트남]한인이 설립한 RCE, 세계 첫 ‘중장비 온라인 중고거래’
- 회계법인 해솔, 부동산 타당성 자문 업무협약
- [2024 더벨 글로벌 투자 로드쇼-베트남]베트남의 지오영 '바이메드'·전기오토바이 '셀렉스' 눈길
- 지아이에스, 코스닥 상장 위한 예비심사신청서 제출
- [꿈틀대는 토큰증권 시장]'업계 표준' 루센트블록, '두자릿수' 레코드 조준
- [Company & IB]조달 '막바지' 롯데그룹, 롯데케미칼에 쏠리는 눈
- '910억 CB 발행' 아스트, 경영 정상화 속도 낸다
- [2024 더벨 글로벌 투자 로드쇼-베트남]"2030년까지 20개 유니콘 탄생, 지금이 투자 적기"
- [2024 더벨 글로벌 투자 로드쇼-베트남]"1억 인구, 평균연령 32세…증시 대세 상승 초입"
- [2024 더벨 글로벌 투자 로드쇼-베트남]지역별 강력한 세제 인센티브 매력 '인수합병 활발'