Businessman Dennis Uy continued his corporate shopping binge as he closed a deal to acquire the company that owns and operates the restaurant chain Conti’s.
Uy’s main holding firm, Udenna Corporation, announced on Monday a share purchase agreement to acquire 70 percent of Conti’s Holdings Corp. (CHC), the owner and operator of Conti’s, which specializes in cakes and pastries, pies, chilled takeout, and other food items.
Established in 1997, Conti’s has grown into a household name, with 20 stores in strategic locations in Metro Manila, serving more than 150 sought-after dishes including best-sellers such as the “Mango Bravo” cake, baked salmon, and chicken pie.
The acquisition deepens Udenna’s stake in the hospitality and restaurant management and other food retail formats.
Last year, Udenna took over Enderun Colleges, one of the country’s premier educational institutions focusing on hospitality management and culinary arts.
Udenna also acquired Philippine FamilyMart, the local franchisee of popular Japanese convenience store brand.
“We are very bullish on the Philippine food industry, which has expanded with the growing demand for convenience. Specifically, the Philippines food service industry amounts to roughly $7.2 billion and over the past decades has had annual growth of 15 to 20 percent. We believe this transaction brings strong synergies with our existing portfolio, which includes hospitality and tourism,” Uy said in a press statement on Monday.
“We are delighted to have been entrusted to grow Conti’s and further cement its reputation as one of the best restaurant chains in the Philippines; and we look forward to working with the existing management team, with the support of its original owners who are retaining a strategic stake, to bring Conti’s to the next level.”
The transaction is expected to be closed within October 2018. Post-transaction, the original owners of CHC will retain a combined 30 percent interest.
AlphaPrimus Advisors acted as exclusive Financial Adviser to Udenna for this transaction.
Udenna has interests in other businesses such as petroleum, transport/shipping, real estate and property development. /vvp