Eclectic Brands, the South Africa-based restaurant group, is set to list on the JSE later this month, it emerged late on Friday.
Eclectic Brands, the holding firm for nine restaurant and pub groups in South Africa, is likely to raise R175 million ($14 million) at the initial public offering through the issue of R1 a share.
However, according Moneyweb, experts have warned that drawing comparisons between other restaurant and fast-food groups like Famous Brands would not be fair for the company.
“They expressed concerns that a number of the larger traditional underwriters of new listings had avoided the counter on the premise of a weak outlook for consumers and a valuation which appeared to be stretched,” according to Moneyweb.
Eclectic Brands is a new player set to shake up the food franchise market, bringing a mix of nine exciting quick-service restaurants, destination eateries and catering supply brands to the table.
It prides itself on a fresh approach, built on a solid business model, offering something new in a cluttered marketplace.
With plans to list on the JSE in the Restaurants & Bars sector, it is committed to offering a viable alternative for investors and customers alike in the restaurants sector.