I must confess that I find this new rather hilarious. It's because the word shabu is often associated with drugs. All the while, shabu shabu is a Korean delicacy! Well, I'm going to say that Jollibee Foods Corporation has now become a multinational buyer. Jollibee acquired 70% of Compost Coffee back in 2024. This year, Jollibee as a multinational corporation is now acquiring Shabu All Day for PHP 5.1 billion pesos. Is Jollibee checkmating South Korea or is the Philippines conquering South Korea not just by OFWs but als through Jollibee? The answer is still no.
From GMA News, we can read this article by Jon Viktor D. Cabuenas:
Under the deal, Shabu All Day will be consolidated into Jollibee Foods Corp.’s (JFC) financial statements immediately upon completion of the acquisition for a total consideration equivalent to KRW127 billion. Completion of the transaction is subject to closing and financing conditions.
The acquisition is expected to lead to a 2% jump in revenues, increase the contribution of the international business to 46% of global revenues, drive an 8% growth in global earnings before income tax this year, and an approximate 1% increase in store count with 169 stores.
Established in October 2014, All Day Fresh is primarily engaged in the franchise business of the hot pot and eat-all-you-can restaurant brand Shabu All Day headquartered in Seoul, South Korea. It was ranked first in store count among hot pot chains, and in total system-wide sales at $285 million.
JFC said talks on the acquisition formally began with Elevation Equity Partners Korea Limited in August 2024, through the acquisition of Compose Coffee which the group seeks to expand across the Philippines and Southeast Asia.
“Shabu All Day represents a compelling opportunity in one of Asia’s fastest-growing dining categories, and we believe Jollibee Group’s global scale and brand-building excellence, combined with Elevation’s on-the-ground market expertise, will unlock significant long-term value,” Elevation managing partner Gordon Cho said in a statement.
“We look forward to working closely with Jollibee Group once again to accelerate Shabu All Day’s growth trajectory and solidify its leadership in Korea’s hot pot and experiential dining segment,” he added.
Elevation, a private equity firm focusing on mid-market buyouts and growth capital opportunities in the Korean consumer space — will retain a 30% effective shareholding in Jolli-K.
“With Compose Coffee and now Shabu All Day, Jollibee Group continues to demonstrate its strengthened ability to acquire high-quality, profitable businesses that align squarely with our strategic pillars and deliver meaningful long-term value to our shareholders,” JFC chairman Tony Tan Caktiong said.
“These investments reflect Jollibee Group’s disciplined approach to capital allocation, prioritizing opportunities that are both financial accretive and operationally scalable,” he added.
Once again, the hypocrisy is revealed. The meme translates as, "There's already Jollibee in UK." and the person smiles. The second one is, "There's news that foreign investors will be in the Philippines." and the person gets upset. After all, there's really the stupidity of thinking that business and conquest are the same thing. It's probable that there still a good amount of people in the Philippines who believe that FDIs and OFWs are a game of conquer or be conquered. Once again, the myth is far from reality.
Jollibee acquired 70% of the shares of Compost Coffee and Shabu All Day? It's because the South Korean government didn't say, "Foreigners may only own 40%!" Instead, this is all about the bigger the shares, the bigger the responsibility. Jollibee is still legally obliged to follow South Korean laws. Gong Cha's ownership is now 70% South Korean, but Taiwan still remains an independent nation. Jollibee has acquired two South Korean companies, and South Korea still remains a independent state. That's why I want to stress out for the nth time that company shares ownershhip, even at 100% FDI owned, has never been an act of conquest. It's basically the survival of the fittest, but in the end, FDIs are still required to obey the local laws of the host countries!