Jollibee Foods Corp., the Philippines-based fast-food giant, is reportedly contemplating a change in its plans for the spinoff and listing of its international business. The company is considering moving the listing from the United States to Hong Kong, where share sales have been particularly strong. Jollibee is working with advisors and aims for the listing to occur by the end of next year, though these considerations are preliminary and subject to change.
This potential shift comes as Hong Kong's market has seen significant activity, with nearly $38 billion raised in primary and secondary share sales this year. This figure is notably higher than the approximately $26 billion raised in the same period last year and less than $5 billion in the first half of 2024. While Chinese companies account for the majority of these listings, Hong Kong has been actively seeking to diversify its offerings and attract listings from Southeast Asian nations.
Jollibee's shares in Manila have experienced a roughly 25% decline this year, resulting in a market capitalization of about $2.5 billion. The company had initially announced plans in January to spin off its international operations and list them in the US, with the goal of sharpening the focus of its two distinct businesses. Jollibee maintains a substantial presence in Hong Kong with 24 outlets, and its fried chicken and Southeast Asian-style spaghetti are popular among the city's Filipino community. The company's international portfolio includes over 270 Jollibee-branded stores outside the Philippines, across locations like the US, Canada, Singapore, the Middle East, Italy, Spain, and the UK. Additionally, its brands encompass Smashburger, The Coffee Bean & Tea Leaf, Highlands Coffee, Yonghe King, and it holds the Philippine franchise for Burger King, along with a 50-50 local joint venture with Yoshinoya.
