Collins Food

Collins Food Limited listed on the Australian Stock Exchange in early August. It is the largest IPO to date this year on the market, more than twice the size of the previous largest IPO. What is more significant about this is that Collins Foods is a network of franchisees across Australia, showing there can be significant value generated as a successful franchisee and not just a franchisor.

An interesting aspect of this floatation was that Collins Food was a network of franchisees as opposed to the more likely scenario of a franchisor securing equity funding.  Similarly the perception in the market that there is value in investing in a network of franchisees reflects the strength in carrying strong brands such as KFC and Sizzler.

This should give further encouragement to franchisees looking to build enterprise value through the aggregation of a network of franchisees.

DCS Consulting is your business growth specialist. For more information in relation to business valuations, please contact:

Sharife Rahmani
Executive Consultant
sharife.rahmani@dcstrategy.com
02 8220 8715