No Signboard Holdings

[Shiyi]

Diworsification that is.
Too many small-cap companies dabble into uncharted waters and lose money.
Serial Systerm, for instance, went into durian business and continues bleeding.

[mslee888]

Diworsification that is.
Too many small-cap companies dabble into uncharted waters and lose money.
Serial Systerm, for instance, went into durian business and continues bleeding.

Serial system as a group is still profitable though Musang durian business is in the red.

[money]

https://www.businesstimes.com.sg/compani...talist-ipo

Check out the cornerstone investors here. They probably made loss of up to 80% given today's share price. I was tempted to buy some shares to punt at today's price of 5.4 cents, but i decide to pass

[weijian]

https://www.businesstimes.com.sg/compani...talist-ipo

Check out the cornerstone investors here. They probably made loss of up to 80% given today's share price. I was tempted to buy some shares to punt at today's price of 5.4 cents, but i decide to pass

Trying to justify the price is cheap because it is now XX% cheaper than the price paid by someone else (maybe supposed to be more knowledgeable or richer) earlier, is probably not a good basis to punt. It's a good pass, although i have to admit i don't have much insights into this company's fundamentals. But the classic IPO pump and dump trick is there for all to see - improving profitability (not not revenue) just before IPO, putting up a "sexy business" like beer, and then just writing them all off after that.

[weijian]

Diworsification that is.
Too many small-cap companies dabble into uncharted waters and lose money.
Serial Systerm, for instance, went into durian business and continues bleeding.

To be fair, a seafood operator going into fastfood themed outlets is not exactly diversification. From a business standpoint, it would be some sort of vertical expansion. Their Hawker QSR also try to leverage on their NSB fame via the chili crab burger and their burger box has a big red crab pic+NSB name printed on it. I think - sometimes you win in business, sometimes you don't.

I took a look at the Google images of its outlets - they remind me of an exact copy of latest McD furnishings - it looks sleek and modern with auto payment kiosks. To be honest, I am not a marketing/brand expert and it is really easy to pick mistakes after the failure has occurred (confirmation bias at work), but for the 2cents worth, I feel that they got their "Hawker" brand name wrong. The word "Hawker" literally will remind Singaporeans of well, hawker centers, which are generally hot/stuffy, empty tables with (unused) tissue papers, sugar cane machines and the ever-present tissue paper sellers - it definitely clashes with their sleek/modern feel out of their outlets and doesn't do the designers a favor. I can imagine a potential customer walking by, see the outlet and feel nice about it, then only to suffer some sort of cognitive dissonance when they see the Hawker name. It simply doesn't create enough dopamine for the potential customer to try to buy something from them.

Response to SGX's questions on the closure:
https://links.sgx.com/FileOpen/NSB%20-%2...eID=574664

[Bibi]

There was one outlet at Kent Ridge MRT station. My wife asked me if wanna try. I took a look, "Hawker" then at its price $4.50 for drink, burger and fries. The burger and fries portion doesnt seem big. I told her "Hawker" food so expensive at $4.50. Next, we walked to the outlet to take a look. Totally no queue at all. I told her, no queue, the food likely not fresh. So we gave it a pass.

I think branding wise is wrong. They shld not have branded it as "Hawker" food.

[karlmarx]

https://www.businesstimes.com.sg/compani...talist-ipo

Check out the cornerstone investors here. They probably made loss of up to 80% given today's share price. I was tempted to buy some shares to punt at today's price of 5.4 cents, but i decide to pass

Its shares first fell by 50%, from 30 cents to 15 cents, before falling by another 65%, from 15 cents to 5 cents.

Can it fall by another 60% to 2 cents? Or will it double from 5 cents to 10 cents?

I have no idea.

But it is very simple. Just use an easily-understood WB criteria; if SGX closed for 5 years, and you had no way of disposing your NSB shares in the period, how will you decide? 

In addition, with the new delisting rules, I think it will be too challenging for the Lims to attempt a low-ball privatisation/delisting. Especially as the cornerstone investors are sitting on huge losses.

[cyclone]

No Signboard opens its first seafood restaurant in Shanghai, China and marks maiden entry into overseas market since its listing in Singapore
* Group sets foot into China’s growing consumer market with its first foray into overseas market since being listed on the SGX Catalist on 30 November 2017
* The venture will expand the Group’s portfolio to four seafood restaurants in total, including three in Singapore
* The restaurant is located at Shanghai’s K11 art mall and features the Group’s Draft Denmark beer for the first time in China

More details in https://links.sgx.com/FileOpen/Press%20R...eID=581701

[¯|_(ツ)_/¯]

No Sign Board 1HFY2021 result
Rev S$4.6m (vs 10m)
Gross Loss $3m (vs 3m)
Net Loss $3m (vs 3m)

Upon further review to manage its cost structure in the new normal, the Group has decided to permanently close its seafood restaurant at Shanghai K11 mall from June 2021 onwards, in its efforts to control costs and improve operational efficiency. The Group has accrued $25k for the costs associated with the termination of its Shanghai business and does not expect significant write offs relating to the closure.

Despite the above challenges, the Group will continue to explore suitable opportunities to strengthen its competitive edge in its existing business and expand its F&B business both in Singapore and overseas. The Group opened another Mom’s Touch outlet at The Centrepoint in April 2021.

https://links.sgx.com/FileOpen/Results%2...eID=666525

Stay home and stay safe, everyone.

[specuvestor]

No Signboard but the signs were there for investors.

When companies are “No Clue” they become financially hazardous and just have to be “fired”

That is true, established players have spent millions of dollars in advertising and other forms of sponsorships to get to where they are. The status and consumer mindshare, I reckon it is an easy path for No Signboard.

Agreed. have to spend on A&P/retail presence(?) to maintain consumer franchise/mindshare. Once stopped, the new generation will not know about the brand. You guys probably heard of Ka-ka, Mama Lemon, UIC detergent etc..
But not the millenials...

As for NSB's beer adventure, I guess it is there to have some sexy angles or to take from private hands to public vehicle.

^^Agree that it’s probably a sexy angle to hype up an IPO

Nice summary

IMHO No signboard also seems No Clue. They are also looking to expand to heartlands which I'm not sure they can maintain quality. Their franchise model for Geylang seems strange and looking to franchise in China. They just bought Draft Denmark in June, just Before 9M17 and already looking to invest into own brewery

Agree their trajectory is not comparable to Jumbo

They are keeping the cash cow and passing risk of new ventures to investors. Unless the new ventures turn profitable, no point spending time

Hi Big Toe I think it's a bit more than just "guess"

In this case, not sure if it is a case of no signboard over estimating their capability or they already knew way ahead it would not survive but did it anyway to hype up the listing. Your guess is as good as mine.