Jollibee acquire mang inasal

Jollibee acquires Mang adenoidal The countrys biggest food retailer is acquiring majority control of a fast-growing barbeque fastfood kitchen range in a continuing bid to beef up its clientele portfolio. Jollibee Foods Corporation OFC) disclosed to the Philippine Stock Exchange that it is acquiring 70% of the sh atomic number 18s of Mang nasal for Php3 billion. This came as a surprise to many people, which stockbrokers, analysts, investors, and ordinary consumers. Mang nasal found success as a fastfood chain offering grill chicken. Started in 2003, the company now has 303 stores in the Philippines, all but 24 of which are ranchised outlets.It has revenues of P2. 6 billion and system-wide sales of P3. 8 billion a year. Jollibee said it would pay P200 million in downpayment to the owner of Mang nasal Philippines, lnJap Investments, light-emitting diode by Edgar Sia Ill. Around 90% of the balance will be paying(a) upon closing of the agreement, with the remaining 10% to be paid thr ee eld onward after the deal is reached. The parent company will overlay to hold 30% of Mang nasal. The news comes in the heels of a recent contract from Jollibee that it will terminate its Delifrance franchise unitin 2011 and news that Mang nasal will go ublic (Initial Public Offering) also next year.Jollibee Foods Corporation, as of July 31, 2010, has a total pattern of 1,582 store branches in the Philippines Jollibee (702) Chowking (406) Greenwich (221) Red Ribbon (215) Delifrance (23) and Manong PepeS (15). Reasons why Jollibee acquires / Bought Manq Inasal Jollibee considered Mang nasal to a greater extent of a threat than Mcdonalds. This is mainly because Mang nasal was one of the few eatery chains that would put up a branch anywhere in that respect was a Jollibee. If you think about it theres definitely an overlap between the customers of Jollibee and Mang nasal.These are the people ho want value for their money and nothing overcome Mang nasals Unlimited Rice (especial ly for Filipinos). In order to strengthen their market in the fast food industry, Jollibee started to veer their focus. Instead of focusing on how to cope with their customers more and improving their products, they increased their profits abundantly by buy other food companies. get together and acquisitions seemed to have been an effective strategy for Jollibee not only because of its dominance but also because of numerous other reasons . Merging and acquisitions increases revenue through decreased manufacturing and human labor cost.