17-10-2010, 09:10 PM
hi just wondering if fellow shareholders have taken a read on the circular dated 13 Oct 2010 on the proposed acquisition of entire issued share capital of all around limited for HK$31million.
I read and saw that the lippo chiuchow restaurant has been profitable since 2007 and has these questions before casting my vote:
1) why did lippo china resources limited, a controlling shareholder of FJI, want to sell the profitable restaurant to FJI;
2) LCR catering's 25 March 2010 tenacy agreement with West holding will expires on 31 March 2013, is it commong to have such duration of leasing in Hong Kong?
3) the financial statement of LCR catering has not been audited and the independent financial adviser primepartner relied on it, is it safe for us retail shareholder to then trust its opinion?
4) LCR catering is entitled to distribute dividends of up to HK$10 million to its shareholders prior to completion of this sale/purchase, as such its NTA would decrease from HK$19.7 million to HK$9.7million, i am concerned if FJ will then face a risk for overpaying for this proposed acquisition.
5) LCR catering only has 1 single restaurant business consisting of a few key mgt persons including Mr Ng Wing Fung the executive chef and ng wing sing the deputy chef, i am just wondering if they are happy with the transaction? if not they suddenly leaves or resigns the consequence may be quite bad for this acquisition
I read and saw that the lippo chiuchow restaurant has been profitable since 2007 and has these questions before casting my vote:
1) why did lippo china resources limited, a controlling shareholder of FJI, want to sell the profitable restaurant to FJI;
2) LCR catering's 25 March 2010 tenacy agreement with West holding will expires on 31 March 2013, is it commong to have such duration of leasing in Hong Kong?
3) the financial statement of LCR catering has not been audited and the independent financial adviser primepartner relied on it, is it safe for us retail shareholder to then trust its opinion?
4) LCR catering is entitled to distribute dividends of up to HK$10 million to its shareholders prior to completion of this sale/purchase, as such its NTA would decrease from HK$19.7 million to HK$9.7million, i am concerned if FJ will then face a risk for overpaying for this proposed acquisition.
5) LCR catering only has 1 single restaurant business consisting of a few key mgt persons including Mr Ng Wing Fung the executive chef and ng wing sing the deputy chef, i am just wondering if they are happy with the transaction? if not they suddenly leaves or resigns the consequence may be quite bad for this acquisition