Katrina Group

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Start a new thread for Katrina.

Katrina Group Ltd. is an established and recognised Food & Beverage group with multicuisine concepts. 

With an established history since 1995, Katrina operates 32 restaurants in Singapore and two restaurants in the People's Republic of China under nine different F&B brands and concepts. These are namely Bali Thai, Streats, Honguo, So Pho, Indobox, Muchos, RENNthai, Bayang and Hutong. Each of Katrina’s brands serve cuisines of different ethnicity, namely Indonesian, Thai, Hong Kong, Yunnan, northern Chinese cuisine, Mexican and Vietnamese, catering to a wide spectrum of patrons and different market segments. 

Of the Group’s nine brands, five are casual dining brands generally located in the heartlands in Singapore and four are contemporary upmarket brands located within the central business district of Singapore. In addition, four of Katrina’s brands – Bali Thai, Streats, So Pho and Indobox – are Halal-certified.

Katrina's restaurant brands are widely recognised by consumers and the Group has received many awards and accolades for the high quality of food and service offered by its F&B brands. These honours included Singapore Best Restaurant for both Bali Thai and RENNthai (2002 – 2004); Wine & Dine – Singapore's Top Restaurant for Bayang, Bali Thai and RENNthai (2008); Enterprise 50 Award for Katrina Singapore (2010 and 2012); Singapore Service Star Award for Streats, RENNthai, Bayang, Hutong and Honguo in 2011; Singapore’s Top Restaurant for Indobox, Bali Thai, Hutong, Muchos and RENNthai in 2015; amongst others.

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Katrina Group Draws Strong Investor Interest for Its S$7.5 Million Placement

Highlights :
* Intends to distribute dividends of not less than 60.0% of net profits attributable to Shareholders in respect of FY2016
* Close of Placement on 22 July 2016 and first day of trading expected on 26 July 2016
* Placement of 35,800,000 new shares at S$0.21 for each share to raise net proceeds of S$6.3 million.
* The Group’s market capitalisation will be approximately S$48.6 million based on the post-placement share capital of 231,521,008.

[frus]

Any updates on this name? The post-placement premium is now gone and shares can be bought around issue price (S$0.21-0.22).

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21 April 2017
Business Development Update

Katrina Group Ltd. announced that the Group has decided not to proceed with the lease agreements at MyTOWN, Kuala Lumpur, Malaysia.

Katrina Group Ltd. also announced that the Group has signed letters of offer for restaurants outlets in the following shopping malls:-
1. Clementi Mall (under the brand name “Streats”);
2. Bedok Mall (under the brand name “Streats”);
3. West Mall (under the brand name “Streats”);
4. Marina One (under the brand name “So Pho”); and
5. Vivocity (under the brand name “So Pho”).

[karlmarx]

The profits it was earning prior to IPO is also now gone:

http://infopub.sgx.com/FileOpen/Announce...eID=466745

Breadtalk has a p/e of about 23 while Katrina is about 20. Looking at Katrina's results, and the brands it operates, I'm not sure why Katrina trades at multiples that is similar to Breadtalk's.

[karlmarx]

Dive in profits, FCF still negative, and no dividends for FY18.

Management has yet to demonstrate the ability to operate its stores profitably.

Market value based on last traded price is $43m, which is more than 3x book value of $13m.

https://links.sgx.com/FileOpen/Announcem...eID=546058

[weijian]

Dive in profits, FCF still negative, and no dividends for FY18.

Management has yet to demonstrate the ability to operate its stores profitably.

Market value based on last traded price is $43m, which is more than 3x book value of $13m.

https://links.sgx.com/FileOpen/Announcem...eID=546058

Katrina's group is a restaurant operator and so the assets are quite "clean" in a sense and easy to understand/value.

Based on AR17, out of the ~8mil fixed assets, only ~1mil (a ~2k sqft office at 1 Sims Lane) is a freehold property at cost and the rest are mainly restaurant renovations/furniture/equipment etc that is not worth much in a sale. So it seems like Mr Market is valuing the brand equity of Katrina Group (Bali Thai/So Pho/Streats which are the main outlets) to be probably in excess of 30mil...