If they can resolve the market share issue with Taco Bell then I will be more confident of your price and timeframe. This is where most of the negative sentiment stems from which I will put into numbers in the next paragraph for context. I believe the Australian taste for Mexican food have been amazing the last few years. That pie have been growing but Taco Bell have essentially been left behind by its competitors. Zambrero (213 restaurants) being one of the biggest, Guzman y Gomez (151 restaurants ) and Taco Bell at a mere 20 restaurants across Australia. I've been to all 3 and to be honest they have similar quality and same offerings. So the big one for the BOD and Management to figure out here is how do you make Taco Bell stand out. That or the size of the Mexican Food pie in Australia gets bigger...
Regardless, I'm here for the KFC brand long term... Those that can do elementary maths can figure out that Taco Bell is only 3.03% of the entire CKF revenue. Yup $35.8M is only 3% of CKFs $1,181.7m revenue. That's the context here. Personally if they write off Taco Bell (worst case scenario). I still would buy CKF at these prices.
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