Collins Food (ASX:CKF) is set to complete the acquisition of Competitive Foods’ KFC stores in Western Australia and Northern Territory by early March.
Late last year, it had made a $55.6 million acquisition of Competitive Foods, which is a franchisee of 44 KFC restaurants in Western Australia and 4 in the Northern Territory. The acquisition increases Collins KFC restaurants to 169.
The transaction was expected to be earnings per share accretive for Collins, with the company hoping to generate a 15% increase in normalised EPS in FY 15.
The company's KFC restaurants were particularly strong in November and December last year with same store sales growth for the third quarter at 1.7%.
Collins has also re-negotiated poultry contracts for the next 12 months broadly in line with current year and is expecting to deliver a full year result in line with FY14 earnings estimate of $17.3 million normalised NPAT.*
Proactive Investors Australia is the market leader in producing news,articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.* Reported by Proactive Investors 5 hours ago.
Late last year, it had made a $55.6 million acquisition of Competitive Foods, which is a franchisee of 44 KFC restaurants in Western Australia and 4 in the Northern Territory. The acquisition increases Collins KFC restaurants to 169.
The transaction was expected to be earnings per share accretive for Collins, with the company hoping to generate a 15% increase in normalised EPS in FY 15.
The company's KFC restaurants were particularly strong in November and December last year with same store sales growth for the third quarter at 1.7%.
Collins has also re-negotiated poultry contracts for the next 12 months broadly in line with current year and is expecting to deliver a full year result in line with FY14 earnings estimate of $17.3 million normalised NPAT.*
Proactive Investors Australia is the market leader in producing news,articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.* Reported by Proactive Investors 5 hours ago.