FC Will Develop New F&B Operations to Solve “C” Sign
After receiving a “C” caution from SET, FC has announced its plan to solve the problem that shareholders’ equity is less than 50% of paid up capital for 2Q18.
Food Capitals Public Company Limited (FC) has announced the plan and progress report in solving “C” sign given by SET in a public presentation for shareholders and other relevant parties on September 3, 2018 to address the fact that shareholders’ equity is less than 50% of paid up capital for 2Q18.
FC mentioned that the factor is the food & beverage businesses are experiencing an increasingly competitive environment predominantly in Bangkok and its environs. In conjunction with internal factors including suboptimal location of a number of outlets, high staff turnover and a one-off impairment of fixed assets, shareholders’ equity dropped below 50%.
Solutions
FC is committed to addressing this issue and improving value for all shareholders via the following remedies:
- FC is undertaking a thorough internal restructuring of all head office departments through consolidation and internal controls.
- F&B operations are being restructured to address cash flow and operational efficiency.
- The primary focus will be on the improvement of F&B operations through development of new sales channels, digital platforms, new promotions and expansion of the current brands.
With the support of the Stock Exchange of Thailand and the Security Exchange Commission, FC will continue to work towards the completion of the Entire Business Transfer Agreement proposed to shareholders earlier this year. We believe this to present an excellent opportunity to add considerable value for shareholders in the short-term and going forward. Concurrently, FC will work toward achieving the remedies outlined above.