Thai Beverage. The company has a very strong franchise in both the Thai whisky and beer markets, with a 70% and 50% market share respectively. Although 30% of its sales are from beer, it has generated zero profit over the last twelve months due to restructuring of its distribution network. The restructuring is designed to eradicate overlap between sales teams across regional areas, rebrand the packaging and image to the higher-end urban market, and boost up the agent and sub-agent network to ensure a better penetration of this market. We expect both beer sales and operating margins to post strong growth over the next 12-24 months as volumes rebound, particularly in the urban market. Whisky sales continue to deliver solid growth and margin improvement.
| Sedol |
Type |
Price |
Date |
B15F664
|
Buy |
SGD 0.255
|
23/10/2009 |
|
