Key facts
- Jollibee Foods Corporation plans to spin off its international operations into a new entity.
- The new international entity is intended for a listing on a U.S. securities exchange.
- The Philippine operations will remain listed on the Philippine Stock Exchange.
- The international business comprises 6,800 of Jollibee's 10,300 global stores.
- The target completion for the separation and listing is late 2027.
Jollibee Foods Corporation (JFC) is planning a significant strategic move to bolster its global expansion by creating a separate international business entity with the intention of listing it on a U.S. securities exchange. This proposed separation aims to allow investors to participate in the growth of two distinct businesses: the core Philippine operations and the rapidly expanding international segment.
The Philippine business, which will remain listed on the Philippine Stock Exchange, will function as a focused domestic consumer platform. It is characterized by its strong market presence, loyal customer base, and stable, cash-generative operations, offering investors access to the domestic market's growth potential.
The newly formed international entity, tentatively named Jollibee Foods Corporation International (JFCI), will encompass all of Jollibee's operations outside the Philippines. This global growth company boasts a portfolio of fast-growing international brands across various categories and geographies, operating on a capital-light model with substantial room for expansion. The U.S. listing is expected to provide access to deeper capital markets, greater liquidity, and broader analyst coverage, facilitating its international scale and innovation ambitions.
JFC's international business has demonstrated robust growth, accounting for 6,800 of the group's 10,300 stores by the end of the third quarter of the previous year. Its store network has achieved a compound annual growth rate of 26.7% over the past 15 quarters, significantly outpacing the group's overall expansion of 15.1%. This strong performance underpins the CFO's confidence that the international arm is ready to operate as a standalone entity.
The company has engaged advisors and commenced work on the transaction's structure and timeline, targeting completion in late 2027. This plan is subject to market conditions, regulatory approvals, and customary reviews. Shareholders are expected to receive shares in the new international company proportional to their existing ownership in JFC, with the flexibility to manage their holdings in each company separately.